>  ^^ 


THE  LIBRARY 


THE  UNIVERSITY 


OF  CALIFORNIA 


e-iTxi        Cor 


SUGAR 


THE    NATIONAL    CITY    COMPANY 
NEW  YORK 


••  .  -fc  .  - 


Copyright,  1922 

The  National  City  Company 

New  York 


N'3I 


FOREWORD 

The  purpose  of  this  booklet  is  to  acquaint  the  gen- 
eral public  with  the  more  important  economic  aspects 
of  a  great  basic  industry. 

The  sugar  industry  may  be  divided  into  three  prin- 
cipal phases — agricultural  operations,  manufacture  of 
raw  sugar,  and  refining.  Only  the  first  two  phases  are 
given  special  treatment  in  the  following  pages  as  the 
refining  of  raw  sugar  is,  for  the  most  part,  a  distinct 
industry  warranting  separate  presentation. 

We  are  chiefly  indebted  to  Willett  &  Gray's  "Weekly 
Statistical  Sugar  Trade  Journal"  for  the  sugar  statistics 
herein  presented. 


The  accuracy  of  the  statistics  and  statements  con- 
tained in  this  booklet  is  not  guaranteed,  but  they  have 
been  compiled  from  sources  which  zve  regard  as  reliable. 


1C6 


THE  LAND  OF  SUGAR 

UBA    is   essentially    '  :    a  marvelously 

rich  tropical  island  garden  supplied  by  Nature 
with  all  the  ingredients  needed  to  maintain  its 
fertility  for  many  centuries  to  come." 

— W.  F.  Johnson  in  "History  of  Cuba." 


Sugar-- A  Basic  Industry  f     i 

SUGAR  is  a  commodity  in  universal  demand  because,  directly  and  indi- 
rectly, it  is  an  indispensable  modern  food.     Once  a  luxury  available  only 
to  the  favored  few,  sugar  today  forms  an  important  part  of  the  every- 
day diet  of  the  masses.     Its  fundamental  food  value,  however,  is  probably 
not  generally  realized.     Yet  dieticians  tell  us  that  one  pound  of  sugar  con- 
tains 1860  heat  calories  as  compared  with  1110  for  roast  beef,  1640  for  wheat 
flour,  635  for  eggs,  and  325  for  whole  milk. 

It  is  well  known  that  glucose,  grape  sugar,  maple  sugar, 
substitute  syrups,  and  honey  serve  to  some  degree  as  com- 
petitors of  sugar,  but  generally  these  sweetening  materials  sell 
chiefly  on  their  own  special  merits,  rather  than  as  substitutes  for  sugar. 
Even  saccharin  cannot  be  regarded  as  a  substitute,  for  it  has  no  food  value. 
Probably  more  than  80%  of  the  total  quantity  of  sweetening  materials  con- 
sumed annually  in  the  United  States  consists  of  sugar  or  its  derivatives. 
On  the  whole,  therefore,  sugar  is  an  essential  commodity  of  e very-day  use, 
enjoying  a  position  of  substantial  monopoly. 


Competitive 
Position  of 
Sugar 


Stability  Few    industries    have    such    a    constantly    expanding    and 

of  Sugar  stable  demand  for  their  product  from  the  consuming  public. 

Demand  ^e  demand  for  sugar  expands  with  the  growth  of  population 

and  rising  standards  of  living.  The  physical  volume  of  sugar  consumed  is 
apparently  little  influenced  by  the  ups  and  downs  of  the  business  cycle. 
Even  in  periods  of  abnormally  high  prices,  we  continue  to  buy  sugar  for  our 
imperative  requirements,  and  our  total  consumption  either  remains  station- 
ary or  declines  only  a  little  under  such  conditions.  When  prices  are  lower, 
increased  quantities  are  consumed.  The  sugar  industry,  unlike  many  other 
industries,  has  a  fundamental  advantage  in  the  growth,  stability  and  recurrent 
nature  of  the  demand  for  its  products. 


TT        .    t .  Between  two-thirds  and  three-fourths  of  our  annual  sugar 

Household 

and  Non-         consumption  is   for   direct   household  use.      In  recent   years, 
Household       the  non-household  use  of  sugar  has  also  become  important. 

T  Tstf* 

In  1917,  it  was  estimated  that  manufacturing  use  of  sugar 
represented  966,000  tons,  of  which  350,000  tons  were  for  confectionery, 
135,000  tons  for  soft  drinks,  100,000  tons  for  condensed  milk,  and  64,000  tons 
for  ice  cream.  Since  1917,  however,  with  the  advent  of  prohibition,  there 
has  been  a  notable  expansion  in  non-household  use.  For  the  present  year, 
it  is  said  that  130,000  tons  of  sugar  will  be  used  in  the  manufacture  of  ice 
cream  alone,  while  soft  drinks,  confectionery,  and  bakery  products  will  also 
show  a  substantially  increased  consumption  of  sugar.  One  needs  only  to 
consider  the  increased  sale  of  confectionery,  soft  drinks  and  ice  cream  in  recent 
years  to  realize  the  present  and  potential  importance  of  this  demand  to  the 
sugar  industry. 


Investment  The  broad  basic  character  of  the  sugar  industry  has  caused 

in  Sugar  investors  to  place  millions  of  capital  in  the  production  and  re- 

Industry  fining  of  sugar.  This  is  true  not  only  for  those  areas  in  which 
the  United  States  is  particularly  interested,  but  also  for  other  great  producing 
regions.  It  is  said  that  more  than  $1,000,000,000  has  been  invested  by  Amer- 
icans in  the  sugar  industry  of  Cuba  alone,  while  the  beet  sugar  industry  of 
the  United  States  represents  an  investment  of  perhaps  $173,000,000,  and  our 
cane  industry  $33,000,000.  The  cane  sugar  industry  of  Porto  Rico  repre- 
sents an  investment  of  nearly  $60,000,000;  Hawaii  $209,000,000;  and  the 
Philippines,  $71,000,000.  Only  an  industry  of  proven  financial  merit  could 
have  recruited  such  tremendous  sums  for  its  exploitation  and  development. 

6 


The  Sugar  Beet 

The  commercial  sugar  of  the  world  is  obtained  from  the  juice  of  the 
sugar  beet  and  the  sugar  cane.  The  sugar  cane  is  by  far  the  older  source 
of  sugar,  and  its  history  may  be  traced  down  to  remote  periods  of  antiquity. 
The  extraction  of  sugar  crystals  from  the  juice  of  the  beet  is  usually  ascribed 
to  Marggraf,  a  Prussian  chemist  who  completed  his  first  successful  experi- 
ment in  1747.  Supported  by  royal  bounty,  his  successors  improved  the 
processes  of  extraction,  and  in  1799  at  Cunern  in  Silesia,  the  first  beet  sugar 
factory  in  the  world  was  constructed.  The  beet  sugar  industry  was  further 
stimulated  by  Napoleon,  who  established  technical  schools  in  1811,  and  ap- 
propriated funds  for  the  development  of  the  industry.  However,  we  are 
here  less  concerned  with  the  historical  than  the  practical  economic  aspects 
of  the  sugar  industry. 

Sugar  "The  sugar  beet,"  says  the  United  States  Tariff  Commission, 

Content  "is  a  highly  specialized  product  of  careful  selection  in  breeding. 

In  the  early  years  of  the  nineteenth  century,  when  the  beet- 
sugar  industry  was  established  in  France,  the  beets  contained  from  5  to  6 
per  cent  sugar.  American  grown  beets  now  average  from  14  to  19  per  cent. 
Until  very  recently  American  farmers  have  been  dependent  upon  imported 
seed,  chiefly  from  Germany  and  Russia."  Successful  production  of  sugar 
beets  requires  an  adequate  supply  of  cheap  and  suitable  seed  and  production 
of  seed  requires  a  great  deal  of  manual  labor  and  expert  scientific  supervision. 
In  seed  culture  as  well  as  beet  sugar  production,  Germany  still  leads  the  world. 

Beet  The  seeds  of  the  sugar  beet  are  planted  in  the  spring  of  the 

Cultivation  year  and  the  beets  mature  in  the  early  fall.  After  the  young 
beets  come  through  the  soil,  they  must  be  carefully  thinned,  so 
as  to  permit  growth  to  the  proper  size.  During  the  growing  season,  weeds 
must  be  checked  and  the  soil  kept  loose  by  cultivation.  Beet  culture  is 
attended  with  the  usual  agricultural  risks,  such  as  lack  of  sunshine,  drought, 
frost,  and  pests.  Apparently  the  sugar  beet  must  be  raised  in  temperate 
regions  for  culture  in  warmer  climates  is  not  feasible  because  of  decreased 
sugar  yields.  In  the  beet  sugar  industry,  there  is  always  the  ever  present 
possibility  of  reduction  of  production  due  to  the  cultivation  of  more  profitable 
crops.  Thus,  if  wheat  prices  are  high  and  sugar  prices  are  low,  the  wheat 
areas  will  be  extended  and  the  sugar  beet  areas  will  be  reduced.  In  order  to 
preserve  the  fertility  of  the  soil  in  which  sugar  beets  are  grown,  it  is  necessary 
to  practice  rotation  or  to  use  large  amounts  of  commercial  fertilizers.  In 
some  regions  the  beets  are  grown  on  irrigated  lands. 

7 


The  Sugar  Cane 

The  sugar  cane  has  been  described  as  a  "perennial 
grass,  the  cultivation  of  which  is  confined  to  the  warmer 
regions  of  the  earth."  Disregarding  the  details  of  botan- 
ical description,  it  will  serve  our  purpose  to  note  that  the 
stalk  of  the  cane  plant  is  roughly  cylindrical,  with  joints 
at  intervals  of  four  to  ten  inches.  The  diameter  of  the 
stalk  varies  from  one-half  to  three  inches.  Under  some 
conditions,  the  sugar  cane  may  attain  a  height  of  thirty 
feet,  but  one  authority  gives  the  average  length  of  the 
stalk  of  a  well  grown  crop  as  about  twelve  feet,  and  the 
average  weight  per  stalk  as  between  six  and  seven  pounds. 
The  percentage  of  sugar  content  varies  from  nine  to  fif- 
teen per  cent  of  the  weight  of  the  cane,  depending  upon 
the  variety  and  the  conditions  of  its  growth.  Usually, 
in  the  initial  years  of  growth,  the  sugar  content  is  some- 
what less  than  in  the  later  vears. 


Sugar  cane  is  raised  by  planting  cuttings  from  the  top  part 
Cultivation  °^  the  cane  stalk.  Around  each  joint  of  the  stalk  are  several 
buds  which,  when  the  cutting  is  planted,  throw  out  numerous 
shoots  or  stalks  of  cane.  Unlike  the  sugar  beet,  it  is  not  always  necessary 
to  replant  the  sugar  cane  each  year  as  several  crops  are  often  cut  from  one 
planting.  The  first  crop  is  known  as  the  "plant  crop"  and  the  succeeding 
crop  which  rises  from  the  stubble  of  the  first  planting  is  known  as  the 
"ratoon  crop."  It  may  be  followed  by  several  ratoon  crops.  Some  climatic 
and  soil  conditions  make  necessary  a  highly  scientific  and  intensive  system 
of  cultivation,  but  there  are  other  semi-tropical  regions  so  bountifully 
endowed  with  natural  advantages  that  only  slight  attention  is  required  for 
successful  cane  culture. 


Beet  vs. 
Cane 


Due  largely  to  a  system  of  government  bounties,  there  was 
a  time  in  the  history  of  sugar  production  when  approximately 
65%  of  the  world's  output  consisted  of  beet  sugar.  For  many 
years,  however,  beet  sugar  has  been  of  declining  importance  as  compared 
with  cane  sugar.  In  the  season  1899-1900  beet  sugar  represented  64.9%  of 
world  production;  but  in  1913-14,  only  47%.  The  output  of  cane  sugar 
has  doubtless  been  partly  stimulated  by  the  decline  of  beet  production  during 
the  war,  but  even  prior  to  the  war  the  cane  sugar  industry  was  offering  in- 
creasing and  effective  competition  in  the  sugar  markets  of  the  world. 

8 


Sugar  Crops  of  the  World 

Sugar  is  produced  in  many  countries.  It  is  significant  that  with  all  of 
the  stimulus  given  to  the  sugar  industry  during  the  war,  there  has  been  no 
world  overproduction  of  the  commodity.  In  the  following  table  the  pre-war 
and  recent  crops  of  cane  and  beet  sugar  are  presented: 

Total   Production 

(Thousand  Tons) 
Season  Cane  Sugar  Beet  Sugar  Total 

1912-13 9,290  8,918  18,208 

1913-14 9,802  8,634  18,436 

1914-15 10,177  8,306  18,483 

1919-20 11,914  3,255  15,169 

1920-21 12,001  4,676  16,677 

1921-22 12,457  4,986  17,443 


Deficit  in 

World 

Production 


The  estimated  world  production  of  cane  and  beet  sugar  for 
the  season  of  1921-22  is  approximately  1,000,000  tons  under 
the  figure  for  the  crop  year  1914-15.  World  production  and 
consumption  of  sugar  have  not  yet  been  restored  to  pre-war  standards  aside 
from  any  allowance  for  increased  demand  due  to  the  growth  of  population. 
The  war  stimulus  given  to  the  cane  industry  has  not  resulted  in  any  great 
abnormal  expansion  in  physical  production.  In  fact,  the  statistics  show 
that  it  has  had  only  a  consistent  and  healthy  growth  in  annual  output  through- 
out the  entire  period. 

Cane  Sugar  Leads  in  World  Production 


r-.      oo      cr>     CD      *—?      evj 

i~"»         f~ *         d>        t— ^  *— * 


SEASON 


Beet  Sugar  on  the  Continent 

The  great  center  of  beet  sugar  production  is  the  continent  of  Europe, 
particularly  Germany.  The  estimated  world  output  of  beet  sugar  for  the 
season  1921-22  was  nearly  4,000,000  tons  under  that  for  the  season  of  1912-13, 
due  chiefly  to  the  apparent  inability  of  the  European  industry  to  regain  its 
pre-war  standing.  It  seems  to  be  the  consensus  of  opinion  that  it  will  be 
many  years  before  this  restoration  may  be  accomplished.  In  the  following 
table  we  have  presented  the  estimates  of  Willett  and  Gray,  sugar  statisticians, 
regarding  European  beet  sugar  production  for  the  season  1913-14  and  1921-22 
with  the  percentage  relationship  of  the  latter  to  the  former  crop. 

European  Beet  Sugar  Production 

(Thousand  Tons) 

%  1921-22  crop 
1913-14  1921-22  to  1913-14  crop 

Germany  .................  2,618  1,330  54% 

Czecho-Slovakia  ...........  /.  ,.fi.,  6601  4A07 

Austria  and  Hungary  .......  \l>°**  79  /  */0 

France  ...................  717  278  39% 

Belgium  ..................  229  300  131% 

Holland  ..................  229  376  164% 

Russia  and  Poland  .........  1,688  274  16% 

Sweden  ..................  137  227  165% 

Denmark  .................  146  145  100% 

Italy  .....................  305  200  66% 

Spain  ....................  169  135  80% 

Sj  The  table  indicates  that  Germany,  Russia,  and  Poland  and 

Recovery  Austria  Hungary  were  the  most  important  pre-war  beet  sugar 
of  Beet  ^  producers.  Germany's  estimated  1921-22  production  was  only 
54%  of  her  pre-war  output,  and  Russia  and  Poland  together 
produced  only  16%  of  their  former  output.  While  Czecho-Slovakia  has  re- 
vived her  sugar  industry  with  considerable  energy,  her  total  output  was  only 
about  39%  of  the  former  output  of  Austria  Hungary.  Most  of  the  produc- 
tion in  1921-22  for  Russia  and  Poland  was  for  Poland  alone,  and  to  what 
extent  the  Russian  industry  may  recover  is  extremely  problematical. 

"There  are  certain  factors  wThich  tend  to  retard  the  recovery 

tj*  c%  r*  |-  f\  «•  o 

Retarding        °^  Europe's  industry,"   says   Facts  About  Sugar,    "and  which 
European         may  prevent  it  from  regaining  its  former  relative  importance. 


6?  t  Studies  of  crop  statistics  for  the  past  seasons  show  that  the 

average    yields    have    been    constantly    below    those    of    the 

years  before  the  war,  reflecting  a  depletion  of  soil  fertility  which  cannot 

be  quickly  restored  in  view  of  economic  conditions.     The  urgent  demand 

10 


for  other  food  crops  which  command  relatively  higher  prices  tends  to  re- 
strict the  expansion  of  sugar  acreage,  particularly  in  view  of  the  fact  that 
Europe  cannot  produce  sugar  as  cheaply  as  Cuba  and  Java.  Moreover, 
government  support  is  no  longer  extended  to  the  European  industry  in  the 
same  measure  as  formerly."  It  may  be  expected  that  the  European  industry 
will  continue  to  increase  its  output,  but  it  seems  apparent  that  for  many 
years  to  come,  a  large  part  of  European  consumption  requirements  must 
be  met  from  outside  sources,  such  as  Cuba  and  the  other  great  cane  growing 
regions.  Because  of  natural  advantages  of  location,  Cuban  sugars  must  play 
an  important  part  in  supplying  the  European  market. 

United  States  Greatest  Sugar  Market 

The  world's  greatest  individual  market  for  sugar  is  the  United  States: 
In  pre-war  years,  we  consumed  approximately  one-fifth  of  the  total  world 
production  of  beet  and  cane  sugar  and  in  recent  years  our-  consumption  has 
been  about  one-fourth.  Neither  high  prices  nor  shortage  have  served  to  stop 
the  upward  movement  of  the  consumption  curve.  For  instance,  in  1919  a 
year  of  high  prices  and  shortage,  the  estimated  quantity  of  sugar  consumed 
in  the  United  States  was  4,067,671  tons,  an  appreciable  increase  over  any  prior 
year.  There  were  also  successive  increases  in  1920  and  1921,  the  estimated 
consumption  of  the  latter  year  being  4,107,328  tons.  Part  of  this  increase  of 
consumption  in  recent  years  has  been  due  to  the  growth  of  the  confectionery 
and  soft  drink  business  following  prohibition,  but  part  of  it  is  the  normal 
growth,  characteristic  of  sugar  consumption.  It  is  estimated  by  Willett 
and  Gray  that  over  the  past  ninety-nine  years,  the  average  annual  rate  of 
increase  in  sugar  consumption  in  the  United  States  has  been  5.216%.  No 
other  nation  consumes  such  enormous  quantities  of  sugar. 


Sources  of  ^he  sugar  supply  of  the  United  States  is  obtained  from  our 

Our  Sugar  own  beet  sugar  and  cane  sugar  industries,  and  from  Hawaii, 
Supply  -j^g  Philippines,  Porto  Rico  and  Cuba.  About  one-half  of  our 

sugar  supply  is  obtained  from  Cuba.  It  is  only  under  abnormal  conditions  of 
prices  in  this  market  that  cane  and  beet  sugar  from  other  parts  of  the  world 
find  their  way  into  the  United  States  market  in  any  considerable  volume. 
This  is  partly  but  not  solely  due  to  the  special  tariff  concessions  which  we  give 
our  possessions  and  Cuba. 

The  Beet  Sugar  Industry  in  the  United  States 

The  beet  sugar  industry  has  been  long  established  in  this  country,  the 
first  factory  having  been  constructed  at  Northampton,  Mass.,  in  1838.     To- 

11 


day  the  industry  is  mainly  concentrated  in  California,  Utah,  Colorado,  and 
Michigan.  Even  though  favored  by  an  early  start,  the  industry  has  developed 
slowly.  In  1895  beet  sugar  represented  about  1%  of  our  annual  consump- 
tion. By  1911  the  proportion  had  increased  to  15.1%;  and  in  1921  it  was 
about  23%  of  our  annual  consumption.  In  the  last  ten  years,  the  industry 
has  supplied  on  the  average  approximately  18%  of  our  annual  requirements. 

For  the  five  years  preceding  1920  our  production  of  beet  sugar  declined 
each  year,  but  high  prices  and  added  protection  gave  the  industry  a  new 
impetus  in  1920  and  the  maximum  crop  of  969,000  tons  was  produced.  In 
1921  the  output  dropped  to  911,000  tons  and  for  the  present  season  our 
crop  will  be  only  about  650,000  tons.  This  is  a  liberal  estimate  as  the  United 
States  Department  of  Agriculture  has  estimated  the  present  crop  at  586,500 
tons. 

Handicaps  Important  economic  and  other  causes  have  seriously  re- 

of  Domestic  stricted  the  expansion  of  the  beet  sugar  industry  in  the  United 
Beet  Industry  states.  It  is  true  that  certain  companies  are  so  situated  with 
respect  to  natural  advantages  and  to  consuming  centers  that  they  are  able 
to  continue  operations  at  a  profit  but  a  large  part  of  the  industry  has  a  hazard- 
ous and  struggling  existence.  Production  of  sugar  beets  requires  much 
manual  labor,  which  is  often  obtained  with  considerable  difficulty.  If  the 
American  farmer  finds  that  he  can  make  an  equal  or  greater  profit  with  less 
laborious  effort,  he  quickly  turns  to  other  competing  crops.  Before  the  war 
our  industry  was  dependent  upon  Germany  for  its  seed  supply.  We  have  made 
some  progress  in  recent  years  in  raising  suitable  seeds  but  we  apparently  are 
not  able  to  produce  as  cheaply  and  with  as  great  success  as  Germany.  Ac- 
cording to  the  U.  S.  Tariff  Commission,  about  20%  of  our  production  is  de- 
pendent upon  the  protective  tariff.  On  the  whole,  Yankee  ingenuity  has  found 
that  the  domestic  beet  industry,  in  spite  of  the  protective  tariff,  is  less  desirable 
for  exploitation  in  a  large  way  than  the  cane  sugar  industry  of  Cuba. 

Sugar  in  Our  Eastern  Possessions 

The  cane  sugar  industries  of  Hawaii,  the  Philippines,  Porto  Rico,  Louisi- 
ana and  Texas  supply  an  important  part  of  our  annual  sugar  consumption. 
In  the  pre-war  years  of  1912-14,  these  areas  supplied  on  the  average  approxi- 
mately 31%  of  our  annual  consumption,  but  in  the  post-war  years  1919-21, 
the  proportion  declined  to  approximately  26%.  In  the  following  table,  the 
percentages  supplied  by  Hawaii  and  the  Philippines  are  shown  for  specified 
years. 

12 


Per  Cent  United  States   Sugar   Consumption   Supplied   by   Hawaii 

and  Philippines 

Year  Hawaii  Philippines 

1912 15.0%  3.8% 

1913 13.5%  1.2% 

1914 13.6%  3.2% 

1919 12.7%  1.8% 

1920 9.6%  2.8% 

1921 11.7%  3.2% 

Hawaiian  Hawaii  has  long  been  an  important  sugar  producer,  but  the 

Industry  industry  did  not  receive  any  great  stimulus  until  1876,  when 
Hawaiian  sugar  was  admitted  free  of  duty  into  the  United 
States.  Since  annexation  in  1898  the  industry  has  expanded  rapidly,  the 
maximum  production  being  577,000  tons  in  1914-15.  For  the  present  season 
the  crop  will  be  approximately  490,000  tons. 

Sugar  production  in  Hawaii  is  carried  on  under  a  system  of  intensive 
agriculture.  "Nowhere  else,"  says  the  United  States  Tariff  Commission, 
"is  there  so  effective  an  application  of  highly  specialized  machinery  to  agri- 
culture, such  extensive  use  of  commercial  fertilizers,  such  a  comprehensive 
system  of  irrigation,  such  attention  given  to  discovering  and  applying  of  the 
principles  of  scientific  agriculture."  Under  this  system  Hawaii  has  obtained 
the  largest  sugar  output  per  acre,  but  much  of  this  production  is  at  high 
unit  costs  and  dependent  upon  the  tariff  bounty.  It  is  said  by  competent 
authority  that  production  in  Hawaii  has  about  reached  the  economic  limit 
because  nearly  all  of  the  suitable  land  has  been  planted.  A  few  large  com- 
panies control  the  sugar  situation  and  have  been  responsible  for  the  develop- 
ment of  scientific  cane  culture. 

Philippine  Sugar  was  produced  in  the  Philippines  by  rather  primitive 

Industry  methods  for  many  decades  prior  to  the  Spanish- American  War. 
The  modern  development  of  the  industry  has  been  retarded  by 
unsettled  political  conditions  and  a  somewhat  less  favored  tariff  treatment 
than  has  been  accorded  to  Hawaii.  Since  1913,  however,  we  have  admitted 
Philippine  sugar  free  of  duty  and  there  has  been  a  considerable  expansion  in 
output.  Over  the  last  eleven  years  the  maximum  production  of  the  Philip- 
pines was  332,000  tons  in  1915-16.  The  output  for  the  present  season  is  esti- 
mated at  276,000  tons. 

The  Philippine  sugar  industry  is  now  being  modernized  and,  at  some 
future  time,  it  is  possible  that  the  Philippines  may  become  a  large  and  impor- 

13 


tant  sugar  producer.  One  of  the  special  difficulties  in  the  islands,  however, 
is  the  lack  of  a  trained  labor  supply.  The  natural  market  outlet  for  Philip- 
pine sugar,  because  of  the  distance  from  the  United  States,  is  China.  Under 
normal  conditions  of  prices  it  seems  very  probable  that  Philippine  sugars 
will  not  offer  effective  competition  in  the  United  States  market,  but  will 
continue  to  compete  with  those  of  Java,  Formosa,  and  other  eastern  producers 
for  the  large  and  constantly  growing  Chinese  trade. 

Louisiana  and  Porto  Rico 

Neither  Louisiana,  Texas  nor  Porto  Rico  individually  furnish  a  very 
large  proportion  of  the  total  quantity  of  sugar  consumed  annually  in  the 
United  States.  We  present  the  figures  for  the  pre-war  years  1912-14  and  the 
post-war  years  1919-21  for  these  regions  in  the  following  table: 


Per  Gent  United  States  Sugar  Consumption  Supplied  by  Louisiana  and 

Texas  and  Porto  Rico 

Year                                                                                                                              Louisiana  and  Texas  Porto  Rico 

1912 7.3%  8.2% 

1913 5.6%  8.8% 

1914 3.8%  7.3% 

1919 3.8%  7.1% 

1920 2.0%  8.2% 

1921 6.6%  9.1% 


The  The  suSar  industry  of  Louisiana  dates  back  to  1751,  but 

Louisiana  despite  this  long  history  it  now  occupies  a  position  of  declining 
Industry  importance.  Even  with  high  tariff  protection,  the  Louisiana 
industry  has  a  somewhat  precarious  existence.  Unlike  the  great  low  cost 
cane-producing  regions  there  are  wide  differences  in  climatic  and  soil  condi- 
tions in  Louisiana,  as  well  as  in  manufacturing  processes.  Perhaps  the  chief 
difficulty  is  the  shortness  of  the  growing  season  and  the  cool  winters.  In 
Cuba  several  crops  of  cane  can  be  cut  from  one  planting;  in  Louisiana  there 
is  one  plant  and  one  stubble  crop  and  then  replanting.  A  system  of  crop 
rotation  with  cow  peas  must  be  followed  for  the  best  results.  For  these  and 
other  reasons  Louisiana  is  a  high  cost  producer.  During  the  past  eleven 
years  the  maximum  production  of  Louisiana  and  Texas  was  322,000  tons  in 
1911-12,  and  production  fell  to  only  108,000  tons  in  1919-20.  For  the  present 
season,  the  estimated  crop  is  293,000  tons.  The  competitive  influence  of 
Louisiana  sugar  in  the  American  market  is  of  minor  significance. 

14 


The  Porto  Sugar  has  been  raised  in  Porto  Rico  since  the  early  years  of 

Rican  the  sixteenth  century,  but  there  was  no  notable  development 

Industry  Q£  ^Q  industry  until  after  American  occupation.  During  the 
past  eleven  years  the  maximum  output  was  449,000  tons  in  1916-17,  and  the 
minimum  output  was  308,000  tons  in  1914-15.  For  the  present  crop  year  it  is 
estimated  that  the  total  production  will  be  approximately  385,000  tons. 

While  some  Porto  Rican  sugar  is  produced  at  relatively  low  cost,  the 
major  portion  is  produced  at  a  cost  considerably  in  excess  of  that  prevailing 
in  Cuba  and  certain  portions  of  the  West  Indies.  Climatic  and  soil  conditions 
vary  widely.  On  the  south  side  a  large  part  of  the  product  must  be  raised 
under  irrigation,  while  on  the  north  side  the  character  of  the  soil  and  the 
excessive  rainfall  necessitates  large  expenditures  for  tiling  and  other  drain- 
age. Much  of  the  Porto  Rican  land  has  been  devoted  constantly  to  sugar  for 
centuries  and  successful  production  now  requires  extensive  use  of  commercial 
fertilizers  which  adds  much  to  costs.  Porto  Rico  is  thickly  populated  and 
the  available  tillable  land  is  so  limited  that  it  apparently  is  not  possible  to 
undertake  an  extensive  system  of  crop  rotation  in  place  of  the  application 
of  fertilizers.  In  various  official  investigations  the  inefficiency  of  Porto  Rican 
labor  as  contrasted  with  that  of  the  other  regions  has  received  extensive 
comment.  Much  of  the  Porto  Rican  production  is  possible  only  because  of 
the  tariff  bounty. 


Gathering  cane  on  a  Cuban  sugar  plantation 
15 


The  Preferred  Position  of  Cuban  Sugar 

Cuban  sugar,  holds  a  preferred  position  in  the  United  States  market. 
Over  the  past  ten  years,  Cuba  has  supplied  an  average  of  nearly  50%  of 
our  annual  consumption  requirements.  The  average  percentages  of  our  an- 
nual consumption  supplied  by  Cuban,  domestic,  and  insular  producers  in  the 
pre-war  period  1911-13  and  the  post-war  period  1919-21  have  been  as  follows: 


Periods 

1911-13 
1919-21 


Domestic 

22.7% 
22.7% 


Insular 

26.1% 
22.0% 


Cuban 

47.6% 
49.5% 


It  is  apparent  that  even  aside  from  political  considerations  arising  out  of 
our  relationship  to  Cuba,  the  American  public  has  a  very  vital  interest  in  the 
financing  of  Cuba's  major  industry.  Indeed  a  large  part  of  the  splendid 
expansion  of  the  Cuban  industry  has  been  due  to  the  skill  and  enterprise 
of  American  capital.  Why  Cuba  has  become  the  world's  foremost  low  cost 
producer  and  why  the  Cuban  sugar  industry  offers  excellent  opportunity  for 
sound  and  conservative  investment  will  be  more  apparent  in  the  subsequent 
paragraphs  which  discuss  briefly  the  more  salient  features  of  the  industry. 


Total  United  States  Sugar  Consumption  and  Amount  Supplied  by  Cuba 


4,500,000 
4,000,000 

3,500,000 
(/> 

|  3,000,000 

g  2,500,000 

~"  2,000,000 

1,500,000 

1,000,000 

500,000 


1910  1911   1912   1913   1914   1915   1916   1917   1918   1919   1920   1921 

YEAR 


16 


Climate  Cuba's  supremacy  as  a  low  cost  sugar  producer  is  largely 

of  Cuba  due  to  especially  favorable   climatic  and  soil  conditions,   to- 

gether with  proximity  to  the  greatest  sugar  markets  of  the 
world.  The  sugar  cane  is  a  plant  requiring  warm  temperatures  and  much 
moisture  during  the  maturing  months,  if  the  most  successful  results  are  to 
be  attained.  "The  climate  of  Cuba,"  says  an  official  study  of  the  cane  sugar 
industry,  "is  tropical  and  distinctly  insular  in  characteristics  of  humidity, 
equability  and  high  mean  temperature.  There  are  two  distinct  seasons, 
a  dry  season  from  November  to  April,  and  a  hotter  wet  season  from 
May  to  October.  The  average  mean  temperature  of  the  island  is  about 
77°  F.  Temperatures  below  50°  or  above  90°  are  rare.  The  highest  record 
is  100.6°  and  the  lowest  is  49.6°.  The  average  temperature  of  the  hottest 
months  (July  and  August)  is  about  82°  and  the  coldest  months  (December 
and  January)  about  71°.  The  mean  relative  humidity  averages  about  75 
per  cent  and  remains  fairly  uniform  at  all  times  of  the  year." 

Rainfall  Unlike  other  important  cane  producing  regions,  rainfall  in 

in  Cuba  Cuba,  though  abundant,  is  quite  uniformly  distributed  through- 

out the  island.  Moreover,  the  major  portion  of  the  rainfall  oc- 
curs during  the  hot  summer  months  when  it  is  most  needed  by  the  growing 
cane.  "As  a  rule,"  says  one  authority,  "the  rainfall  is  least  on  the  seacoast 
and  greatest  in  the  interior  and  there  is  little  difference  in  rainfall  between 
the  eastern  and  western  parts  of  the  island.  On  the  north  coast  the  records 
kept  give  an  average  of  50  inches  annually;  on  the  south  coast  45  inches; 
and  in  the  interior,  five  miles  from  the  shore,  60  inches."  This  adequate  and 
well  distributed  rainfall  makes  unnecessary  any  extensive  use  of  irrigation 
methods  in  Cuba.  It  is  an  important  factor  which  tends  to  keep  average 
costs  lower  than  those  of  other  cane  growing  regions. 

Fertility  of  The  cane  sous  of  Cuba  are  in  general  remarkably  fertile, 

Cane  Soils       even  in  areas  where  cane  culture  has  been  carried  on  for  gen- 

f    g~^      -t 

erations.  The  geological  explanation  of  this  marvelous  fertility 
is  that  the  soil  of  Cuba  is  formed  of  the  luxurious  marine  and  animal  vegetable 
growth  of  previous  geological  ages.  Originally,  what  is  now  Cuba  was  part 
of  the  ocean  bottom  and  over  this  area  through  the  ages,  great  quantities 
of  decomposed  organic  matter  were  deposited.  In  the  later  geological  epochs, 
the  island  was  pushed  up  out  of  the  sea  by  some  great  volcanic  disturbances 
and  thus  this  great  depth  of  rich  organic  sediment  was  brought  to  the  sur- 
face. Nearly  two-thirds  of  the  island  is  covered  with  soils  which  have  been 
derived  from  organic  limestone  of  this  character,  although  the  red  and  black 
colors  of  the  soils  suggest  little  of  their  history. 

17 


A  typical  Cuban  plantation  showing 

The  following  comment  of  J.  T.  Crawley,  a  cane  soil  authority,  on  the 
fertility  of  Cuban  soils  is  also  of  interest : 

"The  best  sugar  cane  soils,  both  of  Hawaii  and  Cuba  are  those  in  which 
there  is  a  large  percentage  of  lime.  In  Cuba,  the  lands  are  largely  derived 
from  limestone  and  therefore,  this  element  rarely  has  to  be  supplied.  Indeed 
I  am  persuaded  that  the  great  and  lasting  fertility  of  Cuban  cane  soil  is  due, 
in  a  large  measure,  to  the  lime  content  and  to  the  fact  that  the  cane  trash 
is  rarely  burned  off.  The  latter  adds  the  organic  matter  necessary  and  in  the 
presence  of  carbonate  of  lime,  the  nitrogenous  material  is  changed  to  soluble 
nitrate  which  is  so  much  needed  by  the  plant."  This  natural  fertility 
of  the  Cuban  cane  soil,  combined  with  the  plan  of  leaving  the  cane  trimmings 
in  the  field  makes  it  unnecessary  for  the  industry  to  expend  large  sums  for 
expensive  commercial  fertilizers  in  order  to  produce  satisfactory  crops.  In 
other  regions,  such  as  Hawaii,  Louisiana,  and  Porto  Rico,  much  of  the  pro- 
duction requires  their  use  and  hence  is  more  costly  than  that  of  Cuba. 


Ratoon 
Crops  of 
Cane 


The  lasting  fertility  of  Cuban  soils  makes  it  possible  to  grow 
many  ratoon  crops  of  cane  without  the  expense  of  replanting, 
and  this  is  in  part  responsible  for  Cuba's  preeminence  as  a  low 
cost  sugar  producer.  There  is  considerable  variation  in  the  number  of  ra- 
toon crops  harvested  on  different  plantations,  but  seven  or  eight  crops  are 
common.  In  the  more  favored  parts  of  the  island,  on  the  better  plantations, 
the  number  of  ratoon  crops  may  run  as  high  as  from  twelve  to  fifteen.  Some- 
times twenty  or  more  ratoon  crops  are  cut  from  a  single  planting.  In  Java, 
the  great  majority  of  the  crop  is  planted  annually,  while  in  Louisiana  there 

18 


cane  fields  separated  by  fire  rows 

is  one  plant  crop  and  only  one  ratoon  crop.  In  Mauritius  it  is  not  common 
to  grow  more  than  three  ratoon  crops  and  in  Hawaii,  only  two  ratoon  crops 
are  grown. 

Agricultural  Operations  in  Cuba 

Planting  of  When  jungle    lands  on  the  eastern  end  of  the  island  are 

Cane  in  cleared  for  cane  plantations,  the  planting  is  a  simple  matter. 

In  preparing  virgin  forest  lands,  no  plowing  is  done;  the  trees 
are  cut  down  and  allowed  to  dry.  The  valuable  timber  is  removed;  the 
remainder  is  burned,  or  that  part  of  it  which  is  dry  enough  to  burn;  the  stumps 
and  unburned  part  of  the  trees  are  allowed  to  lie  on  the  ground.  When  the 
land  has  been  cleared  in  this  manner  the  planting  consists  of  making  holes  in 
the  ground  with  a  wooden  pole  shod  with  iron  or  with  an  iron  bar.  Cuttings 
are  dropped  into  the  holes  and  covered  with  earth.  The  cane  thus  planted 
grows  from  12  to  14  months  before  being  harvested.  Notwithstanding  the 
little  care  given  in  the  planting,  the  cane  once  started,  yields  a  profitable 
crop  which  is  followed  by  ratoon  crops  for  six  to  eight  years  or  more  writh 
practically  no  cultivation.  When  the  cane  ceases  to  produce  a  paying  crop 
of  ratoons,  or  about  eight  years  after  the  first  planting  on  the  average,  the 
decayed  stumps  and  parts  of  trees  left  on  the  ground  are  gathered  together 
and  burned.  The  land  then  receives  its  first  plowing,  and  is  planted  to  cane 
as  in  other  countries.  It  is  then  allowed  to  ratoon  for  another  eight  or  ten  years 
before  it  becomes  necessary  to  replant.  On  the  older  western  cane  lands,  the 
initial  preparation  of  the  soil  for  the  crop  is  of  course  more  thorough  than 
on  the  newer  plantations  in  the  eastern  end  of  the  island. 

19 


.  The  sugar  cane  is  planted  in  rows,  and  as  it  has  a  thick 

of  Cane  foliage,   the   ground   is   soon   thoroughly   shaded.     This   shade 

keeps  down  the  weeds  and  aids  in  retaining  moisture.  On  the 
newer  lands,  particularly,  there  is  little  expense  for  weeding  because  the  dense 
jungle  has  not  been  favorable  to  the  propagation  of  weeds,  but  in  some  parts 
of  the  island,  notably  on  the  older  plantations,  their  elimination  is  accom- 
plished at  considerable  expense.  If  the  weeds  become  serious,  they  are  cut 
down  with  the  hoe  or  machete.  This  must  be  done  in  the  early  months 
before  the  foliage  becomes  too  dense. 

The  cane  begins  to  ripen  in  December  and  the  harvesting 
of  Cane  season  extends  through  the  month  of  June.     Some  centrals  how- 

ever grind  much  later.  The  sugar  cane  is  cut  close  to  the  ground 
with  a  harvesting  knife  called  a  machete.  It  is  stripped  of  its  leaves,  and  its 
tops,  and  then  cut  into  convenient  lengths  of  three  or  four  feet.  These  cut 
canes  are  conveyed  from  the  fields  to  the  loading  stations  in  ox-carts.  Indeed 
the  ox-cart  has  proven  to  be  the  most  economical  and  efficient  method  of 
transporting  cane  in  the  field.  It  is  interesting  to  note  the  survival  of  this 
primitive  form  of  transportation  in  an  industry  which  is  famous  for  its 
splendid  automatic  mechanical  devices. 


Cane  on  the  way  to  be  made  into  sugar 
20 


Transpor-  Each  plantation  has  its  system  of  railways  leading  to  per- 

tation  manent  loading  stations.     Cane  is  conveyed  from  these  stations 

System  ^Q  ^e  S11gar  factory  in  modern  cane  cars,  usually  built  of  steel 

and  having  a  capacity  of  from  twenty  to  twenty-five  tons.  The  modern 
and  most  generally  accepted  type  of  cane  car  is  arranged  with  sides  to  swing 
out,  being  hinged  at  the  top  and  held  at  the  bottom  or  platform  of  the  car  by 
special  clips  which  are  easily  released,  from  the  end  of  the  car,  When  the  cane 
is  delivered  to  the  weighing  stations  at  the  factory,  the  actual  manufacturing 
of  raw  sugar  begins. 

Agricultural  Systems  in  Cuba 

The  cane  crops  of  Cuba  are  grown  under  two  distinct  systems  of  agri- 
culture: (1)  the  administration  system;  (2)  the  colono  system.  Under  the 
administration  system,  the  planting,  cultivation,  and  harvesting  is  carried  on 
by  the  sugar  company  directly.  Only  a  small  part  of  the  Cuban  crop  is  ad- 
ministration cane,  but  in  Hawaii,  practically  all  of  the  cane  is  grown  under 
this  system.  It  has  some  advantage  in  making  possible  the  best  develop- 
ment of  scientific  and  highly  specialized  cane  culture,  where  such  intensive 
agriculture  is  necessary. 

Under  the  colono  system  the  cane  is  planted,  cultivated  and 
Colono  J  . 

Cane  harvested  by  independent  tarmers,  known  as  colonos.     It  is 

said  that  about  80%  of  the  sugar  crop  of  Cuba  is  made  from 
colono  cane.  This  system  has  been  aptly  described  in  a  government  study 
entitled  "The  Cane  Sugar  Industry"  as  follows: 

"There  are  several  kinds  or  types  of  colonos.  The  independent  colono 
grows  cane  on  his  own  land.  Others  grow  cane  on  the  company  lands,  the 
use  of  which  is  given  to  them  without  any  rental  charge  or  for  a  nominal  sum. 
Still  other  colonos  grow  cane  on  lands  leased  to  them  by  third  parties.  Colo- 
nos may  finance  their  own  planting,  in  part  or  entirely,  or  they  may  secure 
advances  of  money  from  the  company  or  from  third  parties.  The  method  of 
paying  for  cane  from  colonos  almost  universally  used  in  Cuba  is  to  give  the 
colono  either  a  certain  percentage  of  sugar  on  the  weight  of  the  cane  deliv- 
ered or  its  money  equivalent.  Usually  liquidation  is  made  twice  monthly 
at  the  average  price  of  sugar  in  Habana  or  other  port  for  the  current  period. 
From  4J^  to  7%  tons  of  sugar,  or  its  money  equivalent,  are  paid  to  the  colono 
for  every  100  tons  of  cane  he  delivers.  In  the  more  fertile  or  virgin  soils  in 
the  Provinces  of  Oriente  and  Camaguey,  where  less  cultivation  and  prac- 
tically no  fertilizing  are  necessary,  the  prices  range  from  4J/£  to  Sf/2  tons  of 
sugar  per  100  tons  of  cane,  while  it  reaches  the  maximum  of  7J/£  and  in  some 
cases  8  tons  of  sugar  per  100  tons  of  cane  on  the  older  sugar  lands  in  the 

21 


Provinces  of  Santa  Clara,  Matanzas  and  Habana,  where  the  colono  has  to 
employ  more  labor  in  the  cultivation,  fertilizing  and  sometimes  the  irrigation 
of  cane,  and  also  because  two  or  more  factories  compete  for  this  cane  in 
these  older  sugar  Provinces  where  the  factories  are  close  together." 

Colono  vs.  In  considering  the  relative  advantages  and  disadvantages 

Administra-  of  the  colono  and  administration  systems  of  cane  culture,  there 
is  really  only  one  consideration  of  importance  from  a  financial 
standpoint  and  that  is  the  question  of  cost.  On  the  whole  the  Cuban  indus- 
try has  found  that  under  prevailing  conditions  the  colono  system  has  impor- 
tant advantages.  Many  of  the  sugar  companies,  however,  raise  some  admin- 
istration as  well  as  colono  cane,  their  policies  being  dictated  by  conditions 
and  costs. 

From  Juice  to  Crystal 

Raw  sugar  manufacture  is  carried  on  in  a  factory  which,  with  all  of  its 
appurtenances,  is  known  as  a  "central."  A  modern  sugar  mill  on  the  better 
plantations  in  Cuba  represents  a  large  investment  because  of  the  elaborate 
mechanical  equipment  required.  When  the  cut  canes  reach  the  sugar  mill 
they  are  conveyed  automatically  to  a  stand  or  set  of  corrugated  rolls  and 
are  given  a  preliminary  crushing  which  breaks  down  and  shreds  the  cane 
stalks.  The  juice  in  the  cane  is  then  squeezed  out  by  running  the  shredded 
cane  through  several  successive  stands  of  the  rollers.  There  are  three  rollers 
to  each  stand — two  large  parallel  rollers  in  the  same  horizontal  plane  and 
immediately  above  them  a  smaller  roller  parallel  to  the  larger  ones.  Between 
the  large  rollers  is  a  trough  in  which  the  juice  is  caught  as  the  cane  is  crushed 
and  from  which  it  is  pumped  to  the  purifying  tanks  while  the  bagasse  or  fibre 
part  of  the  cane  is  automatically  conveyed  to  the  boiler  room  of  the  factory 
for  use  as  fuel. 

The  juice  is  now  ready  for  purification  and  is  treated  with  lime  and  heated. 
The  heat  causes  the  heavier  and  muddy  impurities  to  sink  to  the  bottom 
of  the  purifying  tank  and  the  lighter  impurities  to  appear  on  the  top  as  scum. 
Between  the  upper  and  lower  layers  of  impurities  is  the  clear  cane  juice. 
This  clarified  juice  is  drawn  from  the  tank  to  be  evaporated  and  the  scum 
and  other  impurities  are  pumped  to  the  filter  presses  where  additional  juice 
is  recovered  and  added  to  the  clarified  juice  already  extracted. 

At  this  stage  the  juice  is  a  thin  mixture  containing  about  85%  water  and 
the  next  step  in  the  process  is  the  evaporation  of  this  water  and  the  reduc- 
tion of  the  juice  to  the  syrup  point.  This  is  accomplished  in  an  apparatus 
known  as  the  multiple  evaporator.  The  syrup  is  then  ready  for  boiling  in 
the  vacuum  pan,  a  cylindrical  vessel  with  a  dome-like  top  and  a  conical 
bottom.  The  vacuum  pan  makes  it  possible  to  boil  syrup  in  a  vacuum  at 

22 


low  temperatures  and  this  process  is  carried  on  until  minute  grains  or  crystals 
of  sugar  are  formed.  The  sugar  boiler  adds  new  juice  from  time  to  time  in  the 
boiling  process  and  the  crystals  are  gradually  built  up  to  proper  size.  The 
crystals  which  are  in  a  mixture  with  the  residue  liquor  or  molasses,  are  then 
ready  for  removal  from  the  vacuum  pan.  While  the  mixture  is  warm,  it 
is  conveyed  to  the  centrifugal  machine  which  is  essentially  a  brass  cylinder 
with  small  perforations  and  is  surrounded  by  an  outer  casing.  The  cylinders 
of  the  machines  are  revolved  at  high  rates  of  speed  and  the  molasses  is  ex- 
pelled from  the  mixtures  by  centrifugal  force  through  the  perforations  in  the 
cylinders  into  the  outer  casings  from  which  it  is  removed  for  further  use  or 
sale.  If  the  sugar  crystals  are  still  too  moist  after  being  treated  in  this  ma- 
chine, they  are  dried  by  hot  air  currents  before  being  bagged.  As  the  sugar 
polarizes  at  about  96°,  raw  sugar  manufactured  in  this  manner  is  known  as 
"96°  centrifugal." 

The  centrifugal  machines  do  not  remove  all  of  the  molasses  and  other 
impurities  from  the  sugar  crystals,  and  hence  they  have  a  brownish  appearance. 
This  necessitates  further  refining  before  the  sugar  is  ready  for  use.  Cuban 
sugar  is  not  refined  to  any  considerable  extent  on  the  island,  but  is  sold 
in  the  raw  state  to  the  refiners  of  the  United  States  and  other  countries. 

Growth  of  Production  in  Cuba 

Sugar  cane  was  introduced  into  Cuba  in  the  early  part  of  the  16th  Cen- 
tury, but  it  was  not  until  after  the  Spanish- American  War  that  conditions 
became  favorable  to  the  expansion  of  the  industry  on  a  large  scale.  The 
Spanish  administration  of  Cuba  had  been  notoriously  incompetent  and  the 
repressive  features  of  Spanish  colonial  administration  had  fomented  insurrec- 
tion and  rebellion.  In  spite  of  numerous  handicaps,  however,  sugar  production 
in  Cuba  reached  slightly  more  than  1,000,000  tons  in  1894  and  1895,  In  the 

latter  year  the  rebellion  began  which  brought  on  the 
Spanish-American  War  and  finally  led  to  the  indepen- 
dence of  Cuba.  During  this  period  of  warfare  many  sugar 
mills,  much  growing  cane  and  other  properties  were  de- 
stroyed and  the  output  of  the  industry  dropped  to  the 
low  level  of  about  212,000  tons.  After  the  Spanish- 
American  War  the  industry  revived  as  rapidly  as  condi- 
tions would  permit  and  by  1903-04  production  was  ap- 
proximately 1,040,000  tons.  The  industry  was  given 
new  life  by  the  influx  of  American  capital  into  the  island 
and  in  succeeding  years  the  crop  increased  rapidly.  For 
the  season  1911-12,  the  total  yield  was  1,912,000  tons. 

23 


4,000,000 

3,750,000 

3,500,000 

3.250,000 

3,000,000 

2,750,000 

2,500,000 

|  2,250,000 

;  2,000,000 

i  1,750,000 

1,500,000 

1,250,000 

1,200.000 

750,000 

500,000 

250,000 


N 


The  crops  for  the  pre-war  seasons  1912-15  and  post-war  seasons  1919-22, 
have  been  as  follows : 

Cuban  Sugar  Crops 

(Thousand  Tons) 
Season  Crop  Season  Crop 

1912-13 2,429  1919-20 3,730 

1913-14 2,598  1920-21 3,936 

1914-15 2,593  1921-22  (Estimate) 4,000 

Today  Cuba  is  the  world's  greatest  sugar  producer.  The  estimated 
crop  for  the  present  season  will  be  approximately  1,500,000  tons  greater 
than  that  of  British  India  and  more  than  double  that  of  Java,  the  next  largest 
producer.  The  present  crop  is  nearly  three  times  the  German  beet  sugar 
crop  of  the  season  1921-22.  This  pre-eminence  of  Cuba  as  a  producer  of  nearly 
one-fourth  of  the  world's  sugar,  has  been  in  part  due  to  the  natural  advantages 
of  climate,  soil  and  location,  but  full  credit  must  also  be  given  to  the  individ- 
uals— both  Cuban  and  American — whose  business  sagacity  and  genius  have 
directed  this  wonderful  development. 

Normally  more  than  three-fourths  of  the  exports  of  sugar 
from  Cuba  are  to  the  United  States.  In  pre-war  years  only  a 
small  fraction  of  the  Cuban  crop  found  its  way  to  other  countries, 
but  the  necessities  of  European  consumers  on  account  of  the  decline  of  the  beet 
industry  have  led  to  increased  exports  in  recent  years  to  the  United  Kingdom 
and  other  European  countries.  The  United  States  is  a  great  natural 
market  for  Cuban  sugars  and  Cuba  has  the  further  advantage  of  prefer- 
ential tariff  treatment. 

Cuba  and  the  Tariff 

Under  the  terms  of  the  reciprocity  treaty  between  the  United  States  and 
Cuba,  approved  by  Congress  December  17,  1903,  imports  of  Cuban  products 
into  the  United  States  are  assessed  tariff  duties  20%  less  than  those  imposed 
upon  like  products  of  other  foreign  countries.  The  treaty  also  provides  for  a 
reciprocal  reduction  of  20%  to  40%  on  products  of  the  United  States  imported 
into  Cuba.  Cuban  sugar  has  therefore  a  20%  tariff  preference  in  the  United 
States  market  as  compared  with  other  foreign  sugars,  and  products  of  the 
United  States  have  a  similar  preference  in  Cuban  markets  as  compared  with 
like  products  of  other  nations.  Since  the  present  duty  on  96°  raw  sugar  is 
2.206  cents  per  pound,  Cuban  sugar  pays  a  duty  under  this  reciprocity  pro- 
vision of  1.7648  cents  per  pound  or  .4412  cents  less  than  sugars  from  foreign 
countries.  Whether  our  tariff  is  revised  downward  or  upward,  as  long  as 
this  treaty  remains  in  force,  Cuba  will  have  this  20%  advantage  as  compared 
with  other  foreign  countries. 

24 


Advantage  of  But  ^  must  not  be  thought  that  this  tariff  concession  given 
Reciprocity  to  Cuban  products  by  the .  United  States  is  without  compen- 
to  U.  S.  satory  advantages.  The  reciprocity  provision  has  given  the 

American  farmer  and  manufacturer  a  large  and  growing  market  in  Cuba  for 
their  products.  The  importance  of  this  market  is  partially  shown  by  the 
dollar  value  of  our  imports  from  and  exports  to  Cuba  in  recent  years. 

Years  Exports  to  Cuba  Imports  from  Cuba 

1919 $278,391,222          $418,610,263 

1920      515,208,731  721,693,880 

1921 187,726,179  230,374,341 

Our  Political  The  people  of  the  United  States  have  a  very  direct  and  im- 
Relationship  portant  interest  in  the  prosperity  of  Cuba's  sugar  industry  and 
there  seems  to  be  little  likelihood  that  our  tariff  laws  will  ever 
be  so  changed  as  to  seriously  injure  the  chief  industry  of  the  island.  It  has 
been  said  that  the  stability  of  the  Cuban  government  is  conditioned  upon  her 
economic  prosperity  and  that  by  virtue  of  the  existing  political  relationship, 
we  cannot  avoid  our  obligation  to  facilitate  particularly  this  prosperity.  Our 
whole  public  policy  toward  Cuba  has  been  built  upon  this  principle.  Prior 
to  the  enactment  of  the  reciprocity  treaty  Elihu  Root,  then  Secretary  of  War, 
said,  "Aside  from  the  moral  obligation  to  which  we  committed  ourselves 
when  we  drove  Spain  out  of  Cuba,  and  aside  from  the  ordinary  consideration 
of  commercial  advantage  involved  in  a  reciprocity  treaty  there  are  the 
weightiest  reasons  for  an  American  public  policy  rounding  in  the  same  direc- 
tion, for  the  peace  of  Cuba  is  necessary  to  the  peace  of  the  United  States; 
the  independence  of  Cuba  is  necessary  to  the  safety  of  the  United  States. 
The  same  consideration  which  led  to  the  war  with  Spain  now  requires  that  a 
commercial  agreement  be  made  under  which  Cuba  can  live."  The  late 
President  Roosevelt  in  his  first  administration  declared  that  our  assistance 
in  maintaining  the  commercial  prosperity  of  Cuba  was  "demanded  not  only 
in  our  interests  but  by  our  honor."  It  would  seem  that  the  United  States  is 
morally  bound  to  frame  its  tariff  legislation  with  this  fundamental  principle 
in  mind. 

The  Story  of  Three  Eventful  Years 

The  sugar  industry  has  recently  emerged  from  what  has  been  perhaps 
the  most  severe  commercial  depression  in  its  history.  Its  troubles,  however, 
have  been  similar  to  those  experienced  by  many  other  industries  in  1920  and 
1921,  but  in  the  case  of  the  sugar  industry  they  were  greatly  aggravated  by 
continuation  of  government  control  and  uncertainty  regarding  the  date  of  its 
termination.  Probably  the  sugar  industry  will  never  again  face  a  combination 
of  circumstances  similar  to  those  which  prevailed  in  1919,  1920  and  1921, 

25 


because  these  conditions  were  largely  the  aftermath  of  government  control. 
A  brief  review  of  the  sugar  market  for  these  three  years  will  serve  to  make 
plain  the  chief  causes  of  the  industry's  recent  troubles. 

R     .         f  The  year  1919  opened  with  the  sugar  situation  in  the  United 

Sugar  States  closely  controlled  by  the  United  States  Sugar  Equali- 

Market  zation  Board.     The   1918-19  crop  of  Cuban  sugars  had  been 

in  1919 

purchased  and  the  price  was  fixed  at  7.28  cents  per  pound  duty 

paid  in  New  York.  In  January,  the  British  Royal  Commission  made  ar- 
rangements with  American  refiners  for  refining  on  toll  300,000  tons  of  raw 
sugar,  but  it  was  several  weeks  before  the  Commission  could  secure  shipping 
facilities  to  move  the  refined  product.  In  February  stocks  of  both  raw  and 
refined  sugar  began  to  accumulate  and  this  accumulation  was  further  stim- 
ulated by  the  harbor  strike  in  New  York  in  March.  To  relieve  the  situa- 
tion the  Board  announced  that  considerable  quantities  of  sugar  had  been 
contracted  for  by  foreign  buyers  and  that,  in  view  of  the  general  conditions, 
it  would  be  wise  for  the  public  to  accumulate  stocks  of  sugar.  Country-wide 
publicity  was  given  to  this  announcement  and  after  the  long  period  of  severe 
restrictions,  it  was  only  natural  that  consumers  should  hurriedly  attempt  to 
increase  their  stocks.  In  the  months  following  this  announcement,  domestic 
consumption  was  at  a  high  rate  and  the  export  movement  also  attained  con- 
siderable volume.  The  shortage  of  sugar  in  this  market  became  so  serious 
that  exports  were  restricted  in  order  to  supply  the  domestic  demand.  Had 
imports  and  prices  not  been  under  control  of  the  Board  at  this  juncture,  it 
seems  probable  that  considerable  quantities  of  foreign  sugar  would  have 
been  marketed  here  and  future  troubles  largely  avoided. 

As  control  of  the  sugar  market  was  expected  to  terminate  in  December, 
there  was  active  bidding  for  the  new  Cuban  crop  by  both  domestic  and 
foreign  buyers  and  prices  moved  upward.  In  the  fall  of  the  year,  the  At- 
torney General  approved  a  maximum  price  of  18  cents  for  Louisiana  plan- 
tation granulated  and  the  market  was  further  stimulated.  It  was  officially 
announced  that  after  December  1st,  no  licenses  would  be  required  for  importa- 
tion of  sugars  from  Cuba.  On  account  of  advancing  prices  and  the  increasing 
shortage  of  supplies,  Congress  was  urged  to  take  the  necessary  action  to 
protect  the  consumer.  The  result  was  that  the  McNary  Bill  was  passed 
which  empowered  the  administration  to  control  the  situation  by  such  plans  of 
purchase  and  distribution  as  were  deemed  necessary  in  the  public  interest. 
The  administration,  however,  did  not  act  under  this  law,  but  deemed  it 
advisable  to  depend  only  upon  the  anti-profiteering  and  general  license 
provisions  of  the  Lever  Act.  For  most  practical  purposes  the  Sugar  Equaliza- 
tion Board  ceased  to  function  December  31,  1919,  and  during  that  month 
raw  sugar  prices  rose  from  7.28  cents  to  12.79  cents  per  pound.  The  way 
had  been  paved  for  the  runaway  market  of  1920. 

26 


Grinding 
the  sugar 
cane 


Review  of  the  During  the  spring  of  1920,  there  continued  to  be  a  shortage 
Sugar  Market  of  sugar  and  it  was  not  until  August  that  a  real  open  market 
was  established.  The  idea  of  shortage  prevailed  throughout  the 
world,  and  domestic  and  foreign  consumers  competed  with  each  other  in  se- 
curing their  necessary  supplies.  Another  factor  in  the  situation  was  the 
successive  reductions  in  the  early  estimates  of  the  Cuban  crop.  Prices  rose 
rapidly  and  in  May  the  high  level  of  23.57  cents  per  pound  was  reached.  There 
was  no  government  control  of  the  industry,  but  the  Department  of  Justice 
instituted  numerous  suits  under  the  anti-profiteering  provisions  of  the  Lever 
Act  to  prevent  profiteering,  hoarding  and  speculation,  which  was  rampant 
at  this  particular  time.  It  should  be  remembered,  however,  that  speculation 
in  this  period  was  not  confined  to  the  sugar  market.  The  abnormally  high 
prices  prevailing  attracted  foreign  supplies  from  more  than  50  countries  and 
sugar  was  even  imported  from  the  interior  of  China.  It  became  apparent 
during  the  second  half  of  the  year  that  the  abnormally  high  prices  could  not 
be  maintained  and  many  speculators  began  to  make  realization  sales.  Mean- 
while, the  country  was  entering  into  the  first  stages  of  the  recent  business 
depression.  Sugar  prices  began  to  fall  and  the  decline  continued  for  several 
months  until  by  October  1st,  the  price  of  96°  centrifugal  raw  sugar  with 
duty  paid  had  reached  9  cents  per  pound.  The  sudden  and  drastic  decline 
in  sugar  prices  produced  a  crisis  in  Cuba  and  on  October  llth,  it  became 

27 


necessary  to  declare  a  moratorium.    In  the  following  months  prices  continued 
to  fall  and  the  moratorium  was  extended. 


Review  of 
the  Sugar 
Market 
in  1921 


The  year  1921  was  unprofitable  for  the  Cuban  sugar  industry 
for  sugar  prices  continued  to  decline  and  stocks  accumulated 
in  large  volume.  In  February  of  1921,  the  Cuban  Sugar 
Finance  Commission  was  created  to  take  control  of  the  sale 
and  shipment  of  the  1920-21  sugar  crop.  Prices,  however,  continued  in  an 
irregular  downward  movement  and  liquidation  of  stocks  was  very  slowly 
accomplished.  By  the  end  of  December  the  price  of  96°  centrifugal  raw  sugar 
at  New  York  with  duty  paid  had  declined  to  3.42  cents.  The  advantages  which 
had  been  claimed  for  centralized  control  of  the  marketing  of  the  1920-21  crop 
by  the  Commission  were  not  fully  realized  and  to  the  relief  of  nearly  every 
one  concerned  it  was  terminated  December  31st.  At  this  time  there  was  on 
hand  in  Cuba  a  stock  of  approximately  1,225,000  tons  of  sugar  and  a  new 
crop  of  considerable  size  was  the  immediate  prospect.  The  sugar  industry 
closed  the  year  in  a  state  of  acute  depression.  It  was  prophesied  that  it 
would  be  at  least  two  years  before  it  could  recover  its  normal  position. 


Modern  methods  and  equipment  are  used  in  this  Cuban  sugar  factory 

28 


The  Return  to  Normalcy 

The  events  of  the  past  six  months  have  proved  that  these  prophecies 
were  unduly  pessimistic.  Seldom  has  a  great  industry  recovered  from  an 
acute  depression  with  such  rapidity  as  the  sugar  industry  in  recent  months. 
This  recovery  has  evidenced  itself  in  increased  prices,  in  the  liquidation  of 
stocks,  in  increased  exportation  of  refined  sugar  from  the  United  States  and 
in  a  phenomenal  increase  in  our  domestic  demand  for  sugar.  The  extent  of 
this  recovery  in  each  of  these  respects  may  be  briefly  stated. 

The  average  price  of  96°  centrifugal  raw  sugar  c.  &  f.  in  the 
f  period  of  1909-13  was  2.704  cents.  At  the  close  of  1921  this 
grade  of  sugar  was  quoted  at  1.84  cents  c.  &  f.  or  considerably 
below  the  pre-war  average.  The  improvement  in  prices,  however,  began  in 
January,  and  in  succeeding  months  average  prices  moved  steadily  upward 
and  on  October  16,  raw  sugar  c.  &  f.  was  sold  at  3.75  cents.  This  price  is  sub- 
stantially above  the  average  prevailing  price  in  the  pre-war  period.  In  the 
following  table  we  present  the  average  prices  per  pound  for  raw  and  refined 
sugar  in  the  pre-war  and  post-war  years. 

Average  Prices  Raw  Sugar  Average  Prices  Refined  Sugar 

C.&F.  No  Duty  Paid  Wholesale 

(1909-13)  Average 2.704^  4.880*5 

1919  Average 6.354  9.003 

1920  Average 11.337  11.390 

1921  Average 3.459  6.207 

1922 

Jan 2.05  4.95 

Feb 2.14  5.06 

Mar 2.31  5.28 

Apr 2.44  5.38 

May 2.44  5.43 

June 2.98  5.93^ 

July 3.54  6.63 

Aug 3.56  6.94 

Sept 3.17  6.47 

Oct.  1-17 3.60  6.62 

Liquidation  The  Cuban  sugar  industry  closed  the  year  1921  with  stocks  of 

of  Sugar  raw  sugar  of  the  1920-21  crop  equal  to  approximately  1,225,000 

tons.  This  was  a  tremendous  carry-over,  for  normally  Cuban 
stocks  of  raws  are  small  at  the  close  of  the  year.  During  the  past  six  months 
this  stock  has  been  rapidly  liquidated  and  on  September  30  there  were  only 
7,918  tons  of  this  old  sugar  on  hand.  Not  only  have  these  stocks  been 
liquidated,  but  to  September  30  the  industry  had  produced  3,971,694  tons 
of  1921-22  crop  sugars,  of  which  it  exported  to  this  same  date  3,421,703  tons  or 
approximately  86%.  There  remain  on  hand  in  Cuba  after  making  allow- 
ance for  domestic  consumption,  only  430,409  tons  of  new  and  old  sugars. 
It  is  apparent  that  the  Cuban  industry  will  close  the  year  in  a  very  secure 
position  with  only  small  stocks  on  hand. 

29 


Revival  of  Part  of  the  substantial  improvement  in  the  sugar  situation 

Sugar  in  recent  months  has  been  due  to  the  revival  of  our  export  trade 

Exports  -n  refined  sugar.     In  the  pre-war  years  1911-13,  our  maximum 

sugar  exports  were  only  slightly  in  excess  of  35,000  tons,  but  beginning  in 
1914,  they  expanded  rapidly  and  the  peak  figure  of  703,863  tons  was  reached 
in  1916.  During  1917-18,  exports  of  refined  sugar  fell  off  but  in  1919  they 
increased  to  658,664  tons.  In  spite  of  the  world  wide  business  depression 
of  1920  and  1921  and  the  depreciation  of  foreign  exchange,  our  exports  were 
around  415,000  tons  of  refined  sugar  in  each  of  these  two  years.  There  has 
been  an  improvement  of  business  conditions  abroad  and  the  exchange  situa- 
tion is  now  materially  better  for  the  more  important  consumers.  Up  to 
October  4  of  the  present  year,  it  is  estimated  that  we  have  exported  805,000 
tons  of  refined  sugar  or  more  than  our  exports  in  any  previous  single  year. 
Exports  since  January  1st  of  the  present  year  have  been  nearly  three  times 
those  of  the  similar  period  in  1921.  Not  only  have  we  exported  unprecedented 
quantities  of  refined  sugar  during  the  first  nine  months  of  the  year,  but  ex- 
ports of  raw  sugar  from  Cuba  to  England  and  the  continent  of  Europe  have 
been  more  than  1,000,000  tons.  Considering  merely  the  present  crop  of 
Cuban  sugar,  exports  of  raw  sugar  to  Europe  have  been  over  three  times 
what  they  were  for  a  similar  period  last  year.  Foreign  as  well  as  domestic 
consumption  of  sugar  has  shown  a  substantial  increase  in  recent  months. 

Increased  Foreign  demand  has  been  of  importance  as  a  factor  in  the 

Domestic  improved  sugar  situation,  but  it  has  been  the  greatly  increased 

Consumption  domestic  consumption  of  sugar  which  has  been  chiefly  respon- 
sible for  the  rapid  recovery  of  the  sugar  industry  to  normal  conditions  of 
supply  and  demand.  According  to  Willett  &  Gray,  the  United  States  con- 
sumed 2,781,218  tons  of  sugar  in  the  six  months  ended  June  30,  1922.  This 
is  at  the  rate  of  about  5,500,000  tons  per  annum  as  compared  with  a  con- 
sumption of  4,107,328  tons  last  year.  While  consumption  in  the  latter  part 
of  the  year  is  usually  somewhat  less  than  in  the  first  six  months,  there  is 
every  reason  to  believe  that  this  year  will  be  a  record  year  in  the  volume  of 
sugar  consumed  in  the  United  States.  In  this  connection,  Willett  &  Gray 
observe  that  the  present  rate  of  consumption  is  almost  that  which  would 
normally  be  expected  if  it  had  increased  at  the  same  average  annual  rate 
as  over  the  past  99  years — namely,  5.216%.  This  tremendous  increase 
in  consumption  of  sugar  demonstrates  the  inherent  stability  of  the  industry 
when  freed  from  arbitrary  restrictions  and  control. 


30 


The  Supremacy  of  Climate  and  Soil 

Cuba  holds  a  stategic  position  in  the  world's  sugar  industry  because  its 
natural  and  other  advantages  have  combined  to  make  it  the  most  important 
low  cost  producer.  In  the  production  of  sugar  the  cost  of  cane  or  beets  is 
the  most  important  single  item  of  total  costs.  While  it  is  difficult,  if  not 
impossible,  to  secure  up-to-date  representative  itemized  costs  for  the  sugar 
industry  in  various  producing  regions,  the  following  tabulation  based  on  pre- 
war experience,  gives  a  clear  idea  of  the  relative  importance  of  various  items 
of  costs  and  the  position  of  Cuba: 


Average  Pre-War  Costs  Per  Ton 
of  Beet  and  Cane  Sugar  Produced  in  Various  Regions 


Cost  of  Cane  Factory 

or  Beets  Costs 

Domestic  Beet $50.17  $23.17 

Cuba 20.20  7.89 

Hawaii 35.68  5.85 

Louisiana 66.91  20.44 

Porto  Rico .                      41.02  10.00 


Marketing 
Costs 

$7.52 
5.24 

13.84 
2.81 
4.27 


Depreci- 
ation 

$5.10 
1.42 
2.78 
3.08 
2.73 


Total 
Costs 

$85.96 
34.75 
58.15 
93.24 
58.02 


The  table  indicates  that  the  cost  of  domestic  beets  per  ton  of  sugar  produced 
is  nearly  two  and  one-half  times  the  cost  of  cane  in  Cuba,  while  Louisiana  cane 
costs  are  slightly  more  than  three  times,  Porto  Rico  two  times  and  Hawaii 
about  one  and  three-fourths  times  those  of  Cuba.  Costs  today  have  risen 
in  all  areas  as  compared  with  pre-war  experience  but  Cuba  undoubtedly 
still  retains  its  relative  advantage. 


Cost  and  Freight  Prices 
96°  Cuba  Centrifugals 


Cuba's  Why  Cuba  holds  an  impregnable 

Impregnable  position  in  the  sugar  industry  is 
also  clearly  shown  by  the  per  pound 
costs  of  Cuban  and  competing  sugars  which  have 
been  compiled  at  various  times  by  official  in- 
vestigators. Perhaps  the  most  thorough  inves- 
tigations which  have  been  made  in  recent  years 
regarding  sugar  costs  are  those  of  the  United 
States  Tariff  Commission  made  for  purposes 
of  aiding  Congress  in  framing  tariff  legislation. 
As  not  all  sugar  producers  turn  out  refined 
sugar,  the  Commission  found  it  necessary  to  reduce 
all  costs  to  a  raw  sugar  basis,  for  fair  comparison. 


31 


YEAR 
1909 
1910 
1911 
1912 
1913 
1914 
1915 
1916 
1917 
1918 
1919 
1920 
1921 

Jan. 
Feb. 

March 
April 
May 
June 
July 
Aug. 

.Sept. 


AVERAGE  PRICE  PER  LB. 

—  2.646C 
•"—2.828,!! 
^"  3.090«i 
— •  2.8040 

—  2.1500 
^—2.7450 

•  3.6261 
•4.7670 
•5.2080 
•  5.0140 
•  6.3540 


•  3.4590 


'11.3370 


These  comparative  costs  as  compiled  by  the  Commission  are  presented 
in  the  following  table : 

Per  Pound  Costs  Reduced  to  Raw  Basis 

(Cents  per  Pound) 
Region  Pre-war  1916-17  1917-18  1918-19 

Cuba* 1.700  2.904  3.931  4.104 

Domestic  Beet 3.492  3.287  4.199  6.002 

Hawaii 2.898  3.853  5.339  5.196 

Louisiana 4.101  3.963  5.692  9.304 

Porto  Rico 2.828  4.229  4.568  5.802 

It  is  apparent  therefore,  that  in  both  the  pre-war  and  post-war  periods, 
average  Cuban  costs  are  materially  below  those  of  other  producing  regions. 
In  making  this  statement,  however,  it  should  be  understood  that  the  costs 
quoted  are  only  average  costs  and  that  in  all  areas  there  are  certain  individual 
producers  whose  costs  may  be  above  or  below  the  average  quoted.  The 
sugar  business,  however,  is  a  highly  competitive  business  and  it  is  only  the 
low  cost  producers  which  can  most  successfully  withstand  the  rigors  of  this 
competition. 

Significant  Features  of  a  Basic  Industry 

Sugar  is  an  indispensable  modern  food.  The  demand  for  sugar  is  re- 
markably stable,  being  little  influenced  by  depressions  and  expanding  with 
the  growth  of  population  and  rising  standards  of  living.  Between  two-thirds 
and  three-fourths  of  our  annual  consumption  is  in  direct  household  use  but 
since  prohibition,  non-household  use  is  becoming  increasingly  important. 
The  American  people  have  invested  more  than  $1,000,000,000  in  the  sugar 
industry  of  Cuba,  a  sum  greatly  in  excess  of  our  sugar  investments  in  other 
individual  regions. 

The  commercial  sugars  of  the  world  are  obtained  from  the  juice  of  the 
sugar  beet  and  the  sugar  cane.  The  beet  is  a  crop  of  the  temperate  zone 
while  cane  is  grown  in  semi-tropical  and  tropical  regions.  The  beet  must 
be  planted  annually  and  requires  much  manual  labor.  The  cane  as  grown 
in  Cuba  ordinarily  requires  little  attention  during  the  months  of  growth  and 
from  twelve  to  fifteen  ratoon  crops  may  be  grown  from  one  planting.  The 
beet  industry  suffers  severely  from  the  competition  of  other  crops  but  in 
Cuba  the  cane  industry  has  little  competition  of  this  character.  The  beet 
industry  was  built  up  by  a  system  of  government  bounties  and  high  tariff 
preferential,  but  even  prior  to  the  world  war  it  was  losing  its  relative  im- 
portance, due  to  the  economic  advantages  of  raising  sugar  cane  in  Cuba  and 

*  Duties  on  96°  Cuban  centrifugals  have  been  as  follows: 

Dec.  27,  1903  to  Mar.  i,  1914 i.348oc. 

Mar.  i,  1914  to  May  27,  1921 i.oo48c 

May  27,  1921  to  Sept.  21,  1922 i.6oooc. 

Sept.  21,  1922 1.76480. 

32 


other  semi-tropical  and  tropical  regions.  The  European  beet  industry  today 
has  not  yet  regained  its  pre-war  standing  and  it  seems  to  be  the  consensus 
of  opinion  that  it  will  be  many  years  before  the  industry  will  fully  recover. 
It  is  this  great  decrease  in  European  beet  sugar  production  on  account  of 
the  war  which  accounts  for  the  fact  that  world  production  of  sugar  in  the 
present  season  will  be  nearly  1,000,000  tons  under  the  figure  for  the  crop 
year  1914-15.  While  beet  sugar  production  has  declined,  cane  sugar  pro- 
duction has  shown  only  a  normal  and  healthy  growth. 

The  world's  greatest  individual  market  for  sugar  is  the  United  States. 
We  secure  our  supply  from  our  own  beet  and  cane  sugar  industries  and 
from  Hawaii,  the  Philippines,  Porto  Rico  and  Cuba.  The  production  of  beet 
and  cane  sugar  in  the  United  States  and  of  cane  sugar  in  our  insular  possessions 
is  in  a  large  measure  dependent  upon  the  tariff  bounty,  and  other  economic 
factors  operate  to  restrict  any  large  increase  in  production  in  these  areas. 
For  many  years  we  have  been  dependent  upon  Cuba  for  about  half  of  our 
annual  sugar  requirements. 

Cuba  is  the  world's  foremost  low  cost  sugar  producer  because  of  unusually 
favorable  climatic  and  soil  conditions.  Sugar  cane  has  been  produced  in  Cuba 
for  centuries  but  not  until  after  the  Spanish  American  War  did  conditions 
become  favorable  for  a  considerable  expansion  of  the  industry.  For  the 
present  season  it  is  estimated  that  Cuba  will  produce  4,000,000  tons  as  com- 
pared with  2,429,000  in  the  season  1912-13.  Cuban  sugar  enjoys  preferential 
tariff  treatment  in  the  United  States  market,  being  imported  at  a  reduction  of 
20%  from  the  regular  duties.  Our  political  relationship  with  Cuba,  if  not 
our  economic  relationship,  requires  that  American  public  policies  continue 
to  be  so  directed  as  not  to  menace  the  prosperity  of  Cuba's  major  industry. 

The  sugar  depression  through  which  we  have  passed  was  in  part  due  to  the 
speculative  fever  which  prevailed  in  nearly  all  lines  of  enterprise,  but  the  chief 
causes  of  the  troubles  of  the  industry  were  the  uncertainty  regarding 
termination  of  government  control  and  certain  policies  inaugurated  during  its 
continuance.  The  sugar  industry  of  Cuba  closed  the  year  1921  with  an 
unprecedented  stock  of  approximately  1,225,000  tons  of  sugar  on  hand. 
Prices  were  low  and  the  industry  was  in  a  state  of  acute  depression. 

Freed  from  government  interference  and  arbitrary  restrictions  the  Cuban 
sugar  industry  has  in  the  last  six  months  returned  to  normal  conditions. 
This  return  to  normalcy  has  manifested  itself  in  increased  prices,  in  the 
liquidation  of  stocks,  in  a  phenomenal  increase  in  our  domestic  demand, 
and  in  an  increased  exportation  of  refined  sugar  from  the  United  States. 
The  sugar  industry  of  Cuba  is  fundamentally  sound.  Low  production  costs 
have  given  it  an  impregnable  position  among  the  world's  producers. 

33 


III? 

Illllllll 

•Jiiiiiiira 


A  typical  Cuban  "Central"  or  sugar 

The  Manufacture  of  Raw 
Cane  Sugar 

The  growing  of  sugar  cane  and  the  manufacture  of  raw  sugar  under 
modern  methods  are  pretty  much  the  same  in  all  parts  of  the  tropical 
world.  There  are  differences  in  detail  which  are  made  necessary  on  account 
of  local  conditions,  principally  cost  of  labor,  fertility  of  soil,  rainfall,  etc. 
In  Hawaii  it  has  been  found  of  great  advantage  to  support  an  experi- 
mental station  where  the  various  varieties  of  cane  best  suited  to  the  lands  are 
developed.  Cuba  has  not  yet  been  forced  to  reach  this  high  point  of  develop- 
ment, but  very  rapid  strides  have  been  made  in  the  past  fifteen  years.  The 
island  has  such  vast  expanses  of  land  in  its  virgin  state,  that  it  has  not  been 
found  necessary  to  use  the  intensive  cultivation  and  fertilization  of  other 
countries. 

While  the  manufacture  of  raw  cane  sugar  in  the  various  countries  is  similar 
in  a  general  way,  the  factories  differ  in  design  and  method  of  operation- 
designs  accepted  as  the  best  in  the  Hawaiian  Islands  would  not  meet  with 
approval  in  Cuba  nor  would  those  designed  for  Cuba  be  accepted  in  the 
Hawaiian  Islands  or  any  of  the  Far  Eastern  countries.  In  subsequent 
paragraphs,  the  factory  and  methods  employed  in  Cuba  in  manufacturing  96° 
raw  sugar  will  be  briefly  described  with  a  minimum  use  of  technical  terms 
for  the  information  of  the  layman  who  wants  a  knowledge  of  the  process  only 
in  a  general  way. 

34 


factory  showing  loaded  cane  cars 


To  understand  clearly  the  process  of  making  sugar,  it  is 
MaPS  f  n  t        essential  to  keep  in  mind  the  following  steps  in  manufacture  : 

1.     Weighing  and  keeping  of  complete  records. 
The  extraction  of  the  juice  from  the  cane. 
The  purification  or  clarification  of  the  juice. 
The  evaporation  of  about  75%  of  the  water,  reducing  the  juice  to  a 

syrup. 

The  concentration  and  crystallization  of  the  syrup. 
The  drying  of  the  crystals  or  grains  in  preparation  for  the  market. 
The  bagging  of  the  raw  sugar  and  stacking  in  the  warehouse 


2. 
3. 
4. 

5. 
6. 

7. 


Weighing  and  Unloading 

The  cane  is  received  at  the  scales,  and  a  complete  record  is 
Weighing  kept  of  the  weights  of  the  cane  and  the  field  on  which  it  is  grown, 
as  well  as  the  fanner  or  colono  who  has  raised  it.  Storage  yards 
are  provided  close  to  the  factory  so  that  sufficient  cane  may  be  stored  to 
keep  the  factory  in  operation  during  the  night,  as  it  is  customary  to  operate 
24  hours  per  day,  closing  down  only  on  Sunday  or  a  part  of  Sunday,  for  the 
purpose  of  making  slight  repairs  and  cleaning  machinery. 


Unloading 
the  Cane 


After  passing  the  cane  scales,  the  cars  are  placed  alongside 
the  cane  carrier  which  feeds  the  mills.    The  system  of  unloading 
the  cars  of  cane  to  the  carrier  differs  in  various  centrals,  de- 
pending upon  local  conditions.     The  commonly  used  method  in  Cuba  has 

35 


many  advantages,  as  the  cane  is  usually  conveyed  in  large  cars.  The  carrier 
is  provided  with  an  endless  moving  platform  placed  about  10  feet  below  the 
surface  of  the  ground.  It  is  wide  and  long  enough  to  receive  all  of  the  cane 
from  a  20  or  2 5 -ton  car.  This  moving  platform  is  sometimes  placed  horizon- 
tally or  on  a  slight  incline.  If  there  are  two  tandem  milling  plants  installed 
in  the  factory,  or  if  it  is  expected  that  there  will  be  two,  the  moving  table  is 
usually  placed  at  right  angles  to  the  cane  carrier  and  elevator  for  convenience 
in  arranging  the  railway  tracks.  The  car  is  placed  on  a  tipping  table,  to  which 
it  is  held  by  clamps  and  is  tipped  to  an  angle  sufficient  to  allow  the  cane  to 
discharge  onto  the  moving  table.  After  the  car  is  emptied  the  table  resumes 
its  horizontal  position,  the  empty  car  is  removed  to  the  storage  tracks,  and 
another  loaded  car  is  placed  on  the  tipping  table.  The  handling  of  cars  from 
the  scales  to  the  tipping  table  and  from  there  to  the  storage  yard  is  usu- 
ally done  by  means  of  an  electric  or  steam  winch.  The  moving  table  is  driven 
by  a  steam  engine  or  an  electric  motor  and  is  so  controlled  that  an  even  feed 
of  cane  is  deposited  on  the  cane  carrier. 


.  The  cane  carrier  is  of  approximately  the  same  width  as  the 

or  Elevator  length  of  the  rolls  employed  in  the  crushing  of  the  cane.  It  is 
formed  by  two  or  three  strands  of  chain  supported  by  rollers. 
Wooden  slats  are  bolted  to  the  chains  at  right  angles  to  the  direction  of  travel. 
The  construction  is  somewhat  similar  to  the  moving  table  just  referred  to, 
but  the  carrier  need  not  be  so  substantially  built. 


Extraction  of  Juice 

The  modern  milling  or  crushing  plant  which  extracts  the 
Crushers  juice  from  the  cane  usually  consists  of  one  or  two  crushers,  each 
having  two  rollers  with  interlocking  or  corrugated  teeth  or  with 
deep  grooves  on  the  circumference  of  each  roll.  These  rollers  are  set  close 
together  and  held  in  place  by  hydraulic  jacks.  The  cane  passing  through  is 
broken  and  crushed  into  pieces  and  matted  into  an  even  layer. 


36 


Juice  Scales 

Liming  Tank  Ut- 

Lime 
KfetogT. 

FROM  CANE  TO  CRYSTAL 

Diagramatic  Presentation 

of  the 

^Process  of  "Manufacturing 
Raw  Cane  Sugar 


Vacuum  Pans  |—  «- 

—\ 
1 

z 

2 

s 

; 

t                 t 

C 

Brow 

Rollers 


From  the  crusher  or  crushers  the  mat  of  cane  is  passed  to 
the  milling  plant  proper,  which  usually  consists  of  a  train  of 
from  four  to  six  3 -roller  mills  set  in  tandem.  The  rollers  of  each 
mill  are  set  in  a  triangular  position  with  one  top  roller  and  two  bottom  rollers. 
A  heavy  bar  called  the  returner  bar  is  placed  between  the  two  bottom  rollers 
for  the  purpose  of  leading  the  cane  which  passes  between  the  top  roller  and 
first  bottom  roller  to  the  opening  between  the  top  roller  and  discharge  roller. 
The  usual  size  of  the  rollers  is  from  34  to  36  inches  in  diameter  and  from  6  to  7 
feet  in  length.  They  are  held  together  by  heavy  housings  fitted  with  hy- 
draulic rams  exerting  a  pressure  of  from  400  to  600  tons  on  the  top  roller. 
These  rollers  are  driven  by  engines  or  electric  motors  through  a  train  of  double 
reduction  gearing,  the  shafts  being  directly  connected  to  the  top  rollers  of 
each  3 -roller  mill.  The  gearing  is  so  arranged  that  the  peripheral  speed  of  the 
rollers  is  gradually  increased  from  the  first  to  the  last  mill.  The  average 
speed  of  the  rollers  is  about  3  revolutions  per  minute.  A  slow  speed  is  nec- 
essary to  allow  the  cane  to  be  under  pressure  a  sufficient  length  of  time  to 
properly  extract  the  juice. 

The  process  of  extraction  may  be  compared  in  a  simple  way 

Masceration    to  that  of  cleansing  a  sponge  by  immersing  it  in  water  and 

expelling  the  water  under  pressure,  immersing  it  a  second  time 

in  water  and  expelling  it  under  pressure  as  before.     By  repeating  this  process 

several | times  the  sponge  will  soon  be  cleansed.     It  is  so  with  the  extraction  of 

sugar  or  sucrose  from  the  cane  fibre.  It  has 
been  found  to  be  of  advantage  to  apply  a 
certain  amount  of  fresh  warm  water  between 
the  last  and  next  to  the  last  mills.  This  applica- 
tion of  water  is  known  as  masceration.  The 
crushed  cane  as  it  comes  from  the  crusher  is 
passed  through  the  first  3 -roller  mill  and  as  it  is 
discharged  from  the  rollers  it  receives  a  spray 
of  water  or  dilute  cane  juice.  An  automatic 
conveyor  receives  the  cane  from  the  first  mill 
and  feeds  it  to  the  second  mill,  where  it  receives 
a  second  crushing ;  also  a  second  spray  of  water 
or  dilute  juice.  Thus  it  passes  from  mill  to  mill 
until  practically  all  of  the  juice  has  been 
extracted  from  the  cane  fibre.  The  juice 
coming  from  (the  last  mill  of  the  train 
contains  comparatively  little  sugar,  and 


Crushing  the  cane 


38 


Milling 
Plant 


by  returning  this  juice  to  the  cane  before  it  passes  into  the  second  mill  the 
amount  of  fresh  water  required  in  the  maceration  process  is  reduced.  It  must 
be  remembered  that  all  the  water  added  to  the  juice  must  again  be  evaporated, 
and  as  steam  is  required  for  evaporation,  it  is  important  to  use  as  little  water  as 
possible  consistent  with  the  percentage  of  sugar  extracted. 

The  juice  from  the  various  mills  is  caught  in  a  shallow  metal  pan  and  led 
to  a  trough  where  it  is  passed  over  a  fine  screen  to  remove  all  of  the  small 
pieces  of  cane  fibre.  tiaocioft  Ubnucy 

In  well-designed  modern  mills,  with  cane  carrying  not  over 
Bagasse  \2%  fibre,  more  than  98%  of  the  sugar  in  the  cane  is  extracted 

and  the  remainder  is  left  in  the  fibre  of  the  cane.  This  fibre  or 
woody  part  of  the  cane  is  known  as  bagasse  and  is  comparatively  dry  when  it 
leaves  the  last  set  of  rollers.  In  the  best  milling  work  the  moisture  has  been 
reduced  as  low  as  36%  of  the  weight  of  bagasse.  As  the  fibre  comes  from  the 
last  mill  it  is  conveyed  directly  to  the  furnaces  underneath  the  boilers  and  in  a 
modern  raw  sugar  factory  with  cane  containing  HJ/2%  fibre,  no  other  fuel 
than  bagasse  is  required  for  generating  all  of  the  necessary  steam  to  operate 
the  factory.  The  boiler  plant  is  usually  of  large  capacity  and  automatic 
conveyors  are  employed  for  the  purpose  of  firing  or  stoking  the  boilers.  The 
ashes  from  the  burned  bagasse  are  returned  to  the  fields  as  fertilizer. 

39 


Liming  and 
Heating 


Clarification 

The  juice  as  it  comes  from  the  mills  contains  impurities,  such 
as  dirt,  small  pieces  of  cane  fibre  and  other  foreign  matter  in 
addition  to  gum,  salts,  wax  and  albumen.  It  is  necessary  to 
remove  most  of  these  impurities.  There  are  several  methods  now  in  use  and 
the  chemist  in  charge  of  the  factory  decides  to  a  certain  extent  the  treatment. 
So  long  as  the  juice  is  confined  in  the  cane  it  does  not  readily  ferment,  except 
when  the  cane  is  burned  before  cutting.  In  such  cases  it  must  be  worked  up 
into  sugar  as  soon  as  possible.  When  the  juice  is  extracted,  it  rapidly  under- 
goes a  change  and  no  time  is  lost  in  arresting  this  action.  It  is  pumped  into 
the  liming  tanks  where  it  is  treated  with  a  solution  of  milk  of  lime  in  order 
to  neutralize  the  acidity.  It  is  then  pumped  into  closed  heaters  which  are 
usually  of  a  cylindrical  shape  about  4  feet  in  diameter  and  20  feet  long,  resting 
horizontally  on  frames  about  2  feet  above  the  floor.  These  heaters  are  fitted 
with  copper  tubes  expanded  into  cast  iron  heads  and  are  arranged  so  that 
the  juice  passes  through  the  tubes;  steam  is  admitted  to  the  space  between 
the  tubes  and  the  outer  shell.  The  heaters  are  set  up  to  permit  operation  in 
series  or  in  parallel.  When  in  series,  the  low  temperature  vapors  form  the 


Juice  scales,  liming 
tanks,  settling  tanks 
and  crystallizers 


Heads  of  four 

cane  juice 

heaters 


40 


Filter 
Presses 


heating  medium  in  the  first  cell  and  live  steam  in  the  second  cell.  The  juice 
passing  from  the  tubes  of  the  first  cell  to  the  tubes  of  the  second  is  gradually 
heated  to  a  temperature  of  about  210°  F. 

The  heat  causes  the  lime  to  combine  rapidly  with  the  im- 
Settling  purities  in  the  juice,  which  is  discharged  into  open  settling  tanks 

where  the  insoluble  solids  settle  to  the  bottom,  carrying  with 
them  vegetable  and  other  matter  held  in  suspension.  The  lighter  substances 
rise  to  the  surface  of  the  tanks  forming  a  scum.  The  length  of  time  allowed 
for  settling  of  the  juice  in  each  tank  is  fixed  by  the  chemist  in  charge  and  is 
usually  in  the  neighborhood  of  one-half  hour.  The  settling  tanks  are  arranged 
in  rows.  As  the  juice  comes  from  the  heater,  each  tank  is  filled  successively 
so  that  by  the  time  the  last  of  the  series  is  being  filled,  the  first  tank  has  had 
an  opportunity  to  settle,  the  clear  juice  has  been  drawn  off,  the  mud  and  scum 
have  been  washed  from  the  tank  and  it  is  ready  for  refilling.  After  settling, 
the  clear  juice  is  decanted  from  the  tanks  to  the  evaporator  supply  tank.  In 
some  factories  it  is  passed  through  a  mechanical  filter  which  removes  an 
additional  amount  of  impurities.  The  mud  and  scum  are  drained  into  other 
tanks  where  lime  is  added.  The  mass  is  then  stirred  and  pumped  into  cachaza 
tanks  where  it  is  again  allowed  to  settle,  the  clear  juice  being  decanted  in  the 
same  manner  as  from  the  settling  tanks.  The  final  mud  and  other  impurities 
are  then  pumped  to  filter  presses  where  an  additional  amount  of  clear  liquor 
containing  a  small  portion  of  sugar  is  separated.  fkncmft  UK 

There  are  a  number  of  different  types  of  filter  presses/  out 
Presses  those  generally  in  use  at  the  present  time  rest  horizontally  on 

the  floor  and  are  made  up  of  layers  of  cast  iron  corrugated  plates 
covered  with  cotton  filter  cloth  laid  between  the  plates  and  hollow  frames. 
When  the  press  is  dressed  complete  with  filter  cloths  over  the  corrugated 

41 


plates  alternating  with  hollow  frames,  a  pressure  is  put  on  the  plates  and  frames 
holding  them  in  place.  They  are  so  arranged  that  the  mud  can  be  forced 
into  the  hollow  frames  allowing  the  juice  to  filter  through  the  canvas  to  the 
corrugated  plates  where  it  is  caught  and  drained  to  a  receiving  trough  below. 
In  passing  through  the  presses  under  heavy  pressure  the  sediment,  scum  and 
other  impurities  are  caught  on  the  canvas  cloths.  A  certain  amount  of  hot 
water  is  forced  through  the  presses  which  takes  with  it  a  portion  of  the  sugar 
remaining  in  the  scum  and  mud.  When  the  press  is  completely  filled  and  the 
sugar  recovered,  the  mud  is  then  released  from  the  press  by  opening  the  frames 
and  removing  the  cloths.  This  mud  is  valuable  as  fertilizer  and  is  conveyed 
to  the  fields.  The  clear  juice  from  the  settling  tanks,  the  cachaza  tanks  and 
filter  presses  is  collected  in  the  evaporator  supply  tank  ready  to  be  reduced 
to  a  syrup. 

Evaporation 

Water  boils  under  atmospheric  pressure  at  sea  level  at  a 
Effects  temperature  of  212°  F.,  and  sugar  juice  a  few  degrees  higher, 

according  to  the  density.  If  this  temperature  is  applied  to 
the  cane  juice  for  a  great  length  of  time,  it  will  have  a  tendency  to  burn 
and  destroy  the  sugar,  but  higher  temperatures  can  be  applied  to  the  cane 
juice  for  a  short  time  without  deterioration.  The  usual  clarified  cane  juice 
contains  in  the  neighborhood  of  85%  water  and  15%  of  solid  matter.  About 
75%  of  the  water  is  removed  in  an  apparatus  known  as  an  evaporator. 
The  evaporator  usually  consists  of  four  cells  called  a  quadruple  effect 
evaporator,  or  it  may  have  five  or  in  some  cases  six  cells,  known  as 
quintuple  or  sextuple  effects. 

The  usual  type  of  construction  is  a  vertical  cell  with  the  lower  section 
forming  a  calandria  with  copper  tubes  inserted  vertically  into  tube  sheets, 
the  juice  passing  through  the  tubes  and  the  steam  or  vapors  being  held  between 
the  outer  shell  and  the  tube  sheets.  The  juice  enters  the  first  cell  and  partially 
covers  the  heating  tubes.  Steam  at  about  five  pounds  pressure  is  admitted 
to  the  calandria,  causing  the  juice  to  boil  and  circulate  through  the  tubes.  The 
vapor  liberated  from  the  first  boiling  is  conductedthrough  vapor  pipes  directly 
into  the  heating  calandria  of  the  second  cell  and  the  juice  from  the  first  cell 
passes  into  the  juice  side  of  the  second  cell  and  from  the  second  to  the  third 
and  the  third  to  the  fourth.  Vapors  from  the  last  cell  are  conducted  directly 
to  a  condenser.  As  there  is  little  pressure  above  the  liquid  in  the  first  cell, 
it  boils  at  about  215°  to  220°  F.  A  vacuum  of  approximately  5  inches  is 
maintained  in  the  second  cell  and  the  temperature  at  which  the  liquid  will 
boil  is  reduced  to  about  203°,  so  that  the  vapor  from  the  first  cell  is  hot  enough 
to  boil  the  juice  in  the  second  cell.  As  the  vapor  from  the  second  cell  passes 

42 


to  the  heating  calandria  of  the  third  cell  under  a  vacuum  of  approximately 
15  inches  the  vapors  are  hot  enough  to  boil  the  juice  in  the  third  cell  and 
the  vapors  from  this  cell  passing  to  the  fourth  cell  calandria  under  a  vacuum 
of  approximately  26  inches,  bring  the  final  boiling  down  to  a  temperature 
of  about  150°.  Therefore,  we  have  had  four  successive  boilings  of  juice,  re- 
ducing the  temperature  in  each  cell  without  adding  any  additional  live  steam. 
Vacuum  gauges  are  fitted  to  each  cell  of  the  evaporator  so  that  the  operator 
may  at  all  times  know  the  vacuum  carried.  Test  tubes  are  also  fitted  to  the 
syrup  side  of  the  evaporator  to  permit  the  operator  at  any  time  to  test  the 
density.  In  maintaining  a  vacuum  on  this  apparatus  a  vacuum  pump  is 
required  in  addition  to  a  supply  of  cold  water.  The  vapors  passing  to  the 
condenser  come  in  contact  with  the  cold  water  and  are  condensed,  the  air  and 
non-condensable  gases  being  drawn  off  through  the  vacuum  pump. 


Vacuum 
Pans 


Concentration  and  Crystallization 

The  evaporator  discharges  the  syrup  into  a  syrup  tank  from 
which  it  is  pumped  to  the  highest  floor  of  the  factory  building 
or  what  is  known  as  the  vacuum  pan  floor.  A  series  of  tanks  are 


Vacuum  Pans — w here  sugar  crystals  are  formed 
43 


arranged  to  receive  the  syrup.  Vacuum  pans  similar  in  construction  to  a 
single  cell  of  the  evaporator,  with  dome-like  tops  and  conical  bottoms,  with 
heating  surface  arranged  as  a  calandria,  with  top  and  bottom  tube  sheets 
connected  by  copper  tubes  or  with  a  series  of  copper  heating  coils,  are  used  for 
boiling  syrups  to  a  crystal.  Leading  from  the  top  of  the  pan  is  a  large  vapor 
pipe  connected  with  a  condenser.  On  the  conical  bottom  is  a  large  valve  which 
may  be  opened  when  the  boiling  is  finished  and  the  massecuite,  or  mixture 
of  crystals  and  molasses,  is  dropped  into  a  receiving  tank. 

The  general  principle  involved  in  the  boiling  of  sugar  is  the 
Crystal-  f 

lization  separation  or  crystallization  of  the  sucrose  contained  in  a  solution 

from  the  impurities,  and  this  is  accomplished  by  evaporation. 
A  portion  of  syrup  is  drawn  into  the  vacuum  pan  as  a  charge,  steam  is  turned 
into  the  heating  calandria  and  boiling  begins.  After  the  sugar  is  once  formed 
into  fine  crystals,  these  crystals  attract  the  sucrose  in  the  solution  and  continue 
to  grow  in  size  rather  than  form  additional  crystals.  By  properly  timed 
admission  of  fresh  concentrated  juice,  the  crystals  are  provided  with  additional 
sucrose,  and  thus  the  building  up  continues  until  the  crystal  has  reached  the 
size  desired  by  the  sugar  boiler.  The  crystal  is  pure  sugar.  The  impurities 
remain  in  the  mother  liquor  and  are  carried  off  as  molasses.  It  is  not  possible 
to  boil  all  of  the  syrup  and  molasses  down  to  a  crystal  and  at  the  same  time 
separate  the  pure  sucrose  from  the  impurities;  therefore,  enough  moisture 
must  be  left  in  the  massecuite  to  permit  separation  of  the  crystals  in  the 
drying  process. 

The  Drying  of  the  Sugar  Crystals 

When  the  sugar  boiler  decides  that  the  massecuite  has  been 
Mixers  boiled  to  a  proper  density  the  whole  contents  of  the  vacuum 

pan  are  dropped  into  a  receiving  tank  called  a  mixer.  This  mixer 
usually  is  held  just  beneath  the  crystallizer  floor  and  is  of  V-shape.  To  the 
bottom  of  this  mixer  are  attached  machines  used  for  separating  the  crystals 
from  the  molasses.  The  mixer  is  equipped  with  paddles  which  are  revolved  so 
as  to  keep  the  massecuite  warm  and  prevent  it  from  hardening  before  it 
has  been  dried  in  the  centrifugals. 

From  the  mixer  the  massecuite  runs  through  gates  into 

Machines         centrifugal  machines  for  the  purpose  of  drying.     The  centrifugal 

basket  is  of  tub  shape  suspended  in  the  center  by  a  spindle  which 

is  held  at  the  top  in  a  bearing  attached  to  the  bottom  of  the  mixing  tank 

44 


Two  Batteries  of 
Centrifugal 
Machines  Show- 
ing Mixers  Above 


supports.  The  outer  part  of  the  basket  is  perforated  and  lined  with  a  fine 
screen.  There  is  a  steel  curb  placed  around  the  outside  of  the  basket  to 
collect  the  molasses.  A  charge  of  massecuite  weighing  several  hundred 
pounds  is  led  into  the  centrifugal  basket  through  the  gates  in  the  bottom 
of  the  mixer  and  the  basket,  which  is  propelled  by  a  belt  or  a  motor  directly 
connected  to  the  spindle,  is  then  started  and  turns  at  a  speed  of  about  1000 
to  1200  revolutions  per  minute.  The  molasses  percolates  through  the 
wall  of  sugar  and  fine  screen  and  is  thrown  off  by  centrifugal  force.  After  the 
basket  has  been  revolved  for  a  few  minutes,  all  of  the  molasses  has  been 
separated  from  the  sugar  crystals.  It  is  then  brought  to  rest  and  the  sugar 
crystals  discharged  through  the  bottom  of  the  centrifugal  into  a  conveyor 
placed  horizontally  below  the  floor. 


Bagging   and    Storing 

This  conveyor  takes  the  sugar  to  an   elevator  which  deposits  it  into  a 
bagging  bin  having  a  conical  or  V-shaped  bottom. 

45 


The  sugar  bags  are  held  beneath  the  bottom  of  the  bin  on  specially  ar- 
ranged trucks  and  by  opening  a  gate  the  bag  is  rilled  with  sugar.  In  some 
of  the  later  designed  factories  automatic  weighing  scales  are  placed  beneath 
the  bagging  bins  and  the  sugar  is  automatically  weighed  and  discharged  into 
the  bags.  The  bags  are  then  stacked  by  automatic  machinery  until  shipped 
to  the  United  States  or  other  countries  for  refining. 


Molasses 

The  molasses  which  is  separated  from  the  first  boiling  of 
By-Product  suSar  ^s  agam  treated  with  heat  and  is  pumped  to  supply  tanks 
on  the  vacuum  pan  floor.  A  part  of  it  is  drawn  into  the  vacuum 
pan  with  the  first  syrups  in  boiling  a  strike  of  sugar.  The  balance  of  the 
molasses  not  taken  in  with  the  first  syrup  in  the  first  boiling  receives  a  second 
boiling  in  a  vacuum  pan  similar  to  the  No.  1  sugar  but  this  No.  2  mas- 
secuite is  discharged  into  large  cylindrical  tanks  called  crystallizers.  These 
tanks  have  heavy  steel  shafts  passing  through  them  from  end  to  end,  to  which 
are  fastened  scrolls  or  paddles  and  are  driven  by  worm  gearing  from  the  out- 
side. A  strike  of  No.  2  massecuite  received  from  the  vacuum  pan  into 
a  crystallizer  is  kept  in  motion  for  several  days;  the  shaft  and  paddles  in  the 
crystallizer  revolving  at  about  one  revolution  in  three  minutes.  As  the  mas- 
secuite cools  sugar  crystals  are  formed  and  by  continuous  stirring  are  moved 
about  so  that  they  come  in  contact  with  small  particles  of  sucrose  and  continue 
to  grow  in  size  until  they  have  absorbed  the  greater  part  of  the  crystallizable 
sugar.  The  massecuite  is  then  dropped  into  a  centrifugal  mixer  and  is  dried 
similarly  to  the  No.  1  sugar.  The  residual  molasses  is  pumped  to  a  tank 
outside  of  the  factory  and  is  sold  to.  distilleries  for  making  alcohol  or  other 
spirits.  When  there  is  no  market  for  alcohol,  molasses  is  used  in  making 
of  cattle  food  or  is  sometimes  burned  under  the  boilers  with  the  bagasse. 
The  final  molasses  contains  potash  and  is  sometimes  burned  in  special  fur- 
naces for  the  purpose  of  recovering  potash  to  be  used  as  fertilizer. 


Chemical  Control 

Every  mill  is  provided  with  an  extensive  laboratory  where 
Science  in        skilled  chemists  are  constantly  engaged  in  sampling  and  analyz- 
ing the  cane,  raw  juice,  syrups,  sugars  and  molasses.     This  is 

46 


one  of  the  most  important  features  in  the  production  of  raw  sugar.  There  is 
a  superintendent  of  manufacture  who  has  charge  of  the  Chemical  Depart- 
ment and  he  is  held  responsible  for  the  recovery  of  sugar  from  the  cane.  From 
the  beginning  to  the  end  of  the  process  of  manufacture,  the  Chemical  Depart- 
ment is  continually  on  the  alert,  sampling  and  testing  and  analyzing  to  see 
that  the  loss  of  sucrose  in  the  final  molasses  which  goes  to  the  distillery,  in 
the  bagasse  which  goes  to  the  furnaces  and  is  burned,  and  in  the  press  cake 
which  goes  to  the  field  as  fertilizer,  is  reduced  to  the  minimum.  In  the  best 
factories  the  total  loss  in  manufacture  is  below  2%. 

It  will  be  readily  seen  that  in  the  best  and  latest  design  of  raw  cane  sugar 
factories  all  parts  of  the  cane  are  utilized,  the  principal  by-product  being  the 
final  molasses. 


Sugar  crystals — bagged  and  ready  for  shipment  to  refineries. 


47 


PRINCIPAL  CORRESPONDENT  OFFICES 


ALBANY 

Ten    Eyck    Building 
Telephone   6090  Main 

ATLANTA 

66  North  Broad  Street 
Telephone  7541   Ivy 

ATLANTIC  CITY 
Chalfonte   Block 
Telephone    Atlantic    City    749 

BALTIMORE 

Charles   &  Fayette   Streets 
Telephone  7471   Plaza 

BOSTON 

10    State    Street 
Telephone    8100    Main 

BUFFALO 

Ellicott    Square    Building 
Tel.    (Bell)    2472   Seneca 

CHICAGO 

137   So.   La   Salle    Street 
Telephone   7200  Randolph 

CINCINNATI 

4th    National    Bank    Building 
Telephone   422  Main 

CLEVELAND 

Guardian    Building 

Telephone    (Bell)    763    Ontario 

DAVENPORT 

Putnam   Building 
Telephone    7935    Main 

DENVER 

718   Seventeenth    Street 
Telephone   1475   Main 

DETROIT 

743   Griswold   Street 
Telephone   2632    Cherry 

HARTFORD 

Conn.    Mutual    Building; 
Telephone   2-3175 

INDIANAPOLIS 

Fletcher    Sav.    &   Tr.    Building 
Telephone   Circle    7800 


KANSAS  CITY 

1017    Baltimore  Avenue 
Telephone   2706    Main 

Los  ANGELES 

513   West  6th   Street 
Telephone    10203 

LOUISVILLE,  KY. 

Marion    E.    Taylor    Building 
Telephone  Main  and  City  3384 

MEMPHIS 

Bank  of  Com.  &  Tr.  Co.,  Bldg. 
Telephone    (Postal)    119 
(Cumberland)    1083    and    1241 

MILWAUKEE 

First   Wis.   Nat'l   Bk.   Building 
Telephone    2590    Broadway 

MINNEAPOLIS 

Builders'   Exchange  Building 
Telephone   8060   Atlantic 

NEWARK 

Kinney    Building 
Telephone    1943    Market 

NEW  ORLEANS 

301    Baronne    Street 
Telephone  6863   Main 

OMAHA 

First    National    Bank    Building 
Telephone  3316  Jackson 

PASADENA 

Citizens    Savings    Bank    Bldg. 
Telephone   385    Colorado 

PHILADELPHIA 

1417    Chestnut    Street 
Telephone  5400  Locust 

PITTSBURGH 

Farmers'    Bank    Building 
Telephone  5926  Grant 

PORTLAND.  ME. 

Union    Mutual   Building 
Telephone    6905    Main 

PORTLAND.  ORE. 

Yeon   Building 
Telephone  6072   Main 


PROVIDENCE 

12    Westminster    Street 
Telephone  3262  Union 

ROCHESTER 

Wilder   Building 
Telephone  4464-5-6 

SAN  DIEGO 

Union    Building 
Telephone  264  Main 

SAN  FRANCISCO 

424    California    Street 
Telephone    921    Kearny 

SEATTLE 

Hoge    Building 
Telephone    2254    Elliott 

ST.  Louis 

415   Olive  Street 
Telephone   7140  Olive 

SAINT  PAUL 

State   Savings   Bank   Building 
Telephone  248  Cedar 

WASHINGTON 

741-15th  Street,  N.  W. 
Telephone   3176   Main 

WlLKES-BARRE 

Miners'    Bank    Building 

Tel.    (Bell)   2120  Wilkes-Barre 

MONTREAL,  CANADA 

74  Notre  Dame  Street  West 
Telephone  6493  Main 

TORONTO,  CANADA 

10  King  Street  East 
Telephone  6120  Main 

LONDON,  E.  C.  2,  ENG. 

No.    34    Bishopsgate 
Telephone  London   Wall   1737 

GENEVA,  SWITZERLAND 

1   rue  de  la  Tour  de  1'Ile 
Telephone    51    89 

TOKIO,  JAPAN 

Tokio   Kaijo  Building 
Telephone   1615   Marunouchi 


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UPTOWN  OFFICE:    National  City  Building  (42nd  St.  at  Madison  Ave.) 

More  than  50  Offices  in  the  United  States  and  Canada 
The  National  City  Safe  Deposit  Company,  42nd  St.  at  Madison  Avenue,  N.  Y. 


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